Post
Topic
Board Economics
Re: Full reserve banking with fiat using a block chain
by
trilli0n
on 21/03/2014, 20:11:18 UTC
The fiat blockchain enables full reserve banking. The units on the block chain are fully backed by the reserves in the safes of fiat bankers. Of course, everything depends on the honesty of the fiat banker. However, the current situation in banking is much worse. The current-day, traditional fiat banker keeps only a fraction of its deposits, the rest is loaned. If only a fraction of these loans default, the bank defaults and the depositors will lose their money for as far as it is not insured.