Post
Topic
Board Economics
Re: Is there any change that protect crypto from fractional reserve style stuff?
by
stompix
on 25/11/2021, 16:38:51 UTC
Isnt el salvador chivo wallet, fractional reserve style wallet as long you are trading from chivo wallet to chivo wallet?

Not necessarily.
It could be and it could not be, since it's working its balance internally and we don't have any information on this you can assume it to be either way, it's a matter of trust.

But in Salvador cases, I would actually suspect the opposite happening, with the government not actually liquidating coins and using a sort of $ fractional reserve to pump up the price, it would make total sense from their point of view since they would be stocking on BTC on debt fiat.

If you strictly follow Bitcoin's revolutionary banking philosophy, this old feature will no longer work. Why? Simply because, with Bitcoin, your funds are under your sole control and ownership. You are your own bank with Bitcoin. No other person or institution has the access to your funds.

Yeah right...

Quote
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