/biz/ - Business & Finance

>>16679945
It’s technically true

Lol if it actually is your money then why does it have to be FDIC insured. Jesus christ, use your fucking brain

>>16679945
Yeah but it's still an IOU

Lol but it's true. That's what paper money was before: a piece of paper giving the holder the ability to redeem the coupon for the underlying asset. This was gold in USD's case but we left that standard, making USD a 'fiat' currency. The system still works because everyone knows that everyone else will readily accept USD as a form of payment, and so are willing to trade goods/services with USD.

With banks, your money is lumped with everyone else's deposits. The bank then goes off and uses this money to give out loans and charge interest, and its how they make their money. The bank is only required to hold a certain percentage of all deposits at any one time (see fractional reserve banking). Obvious question is what happens when everyone decides to withdraw all of their money at once? You get a 'run on the banks'. See Northern Rock in the UK during 2008 crisis (wikipage is a good summary).

>>16679958
>>16679981
So you think your money in the bank is not real money? Why do you have bank accounts then?

>>16680011
Of course it’s not real money
They are not backed by anything, central bank can print an unlimited amount and it’s not going to ask you any permission to do that, they can also buy all assets they want, for free, while you wage slave in exchange of thin air
https://twitter.com/ecb/status/1105494215381913601

>>16680011
Because im forced to pay my taxes in USD. Why do you keep your money in a bank?

>>16680026
>not real money
>the thing that allows you to buy everything

>>16680011
btw I’m all in in BTC
I have bank accounts only because it’s mandatory to have one for being a self employed or having a company
But I keep converting every cent to BTC

>>16680026
It is real money. It's just a very shit system

>>16680040
Again, not real money, just an IOU you are forced to use by law to pay taxes

>>16679945
based carl

>>16680056
You cant pay taxes with btc just like you literally cant pay for any other real life items with btc. It all has to be converted to real world dollars. Things that can actually be used.

>>16680064
I use BTC as a savings account in an offline wallet, it means I totally control my funds
If you use a bank account, they are going to:
-borrow 97% of your money
-if you want to withdraw a big amount you need to inform them few days in advance (since “your” money is somewhere else)
-your account is insured only up to 100k, which mean they can legally seize the remaining of something bad happens
-they can freeze your funds at any time
-they can track your transactions, your spending habits, the places where you have been, etc

>>16680064
in japan and by now probably more countries, you can pay taxes legally with bitcoin. idiot.

you can also buy gold and silver delivered to your door, with crypto. countless items you can buy online and delivered to your door, with crypto.

>>16680011
Jesus fucking Christ learn about fractional reserve banking and bank runs this is absolutely basic shit.

i spent an hour at the bank depositing a large amount of cash. i felt like a criminal the entire time even though it was my hard earned money. the whole banking system is fucked. i spent all that on BTC of course and will be sending it to a cold wallet as soon as it 'clears' on coinbase (another jewish bank). thank god for satoshi, i know its probabaly the NSA, but thank god regardless. they either knowingly or accidentally created a ticket out of the rat race.

>>16679945
you're a moron if you believe paper money and epik virtual money have value

Your Bitcoin is too since the network can shut down or no one chose to accept it

>physical resources such as precious metals exist
This kills the cryptofag

>>16680097

>The standard deposit insurance coverage limit is $250,000 per depositor, per FDIC-insured bank, per ownership category. Deposits held in different ownership categories are separately insured, up to at least $250,000, even if held at the same bank

>>16680334
I’m a yuropoor, it’s 100k for us

>>16679945
>The Moon

>>16680011
Because Jews

>>16679945
>Your bank account
Its not 'your' bank account, its the banks, with all the funds in that account. Its a deposit account, you depose yourself of the funds & give them to the bank as an authorised representative of the bank. You are, by defintion a banker.

>Do crypto doomers really believe this insanity?
Its reality

>>16680334
>>16680338
This deposit 'insurance' is utter BS, its not desinged for 'to big to fail'. check out your jurisidction but in the UK its 44k accounts @ the max payout of £85k.

>>16679945
bybit shilling will send you to prison carl mark my words

>>16680339
>NOOOOO YOU ARENT ALLOWED TO HAVE A YOUTUBE ABOUT CRYPTO HELP ME GOOGLERINO BAN BAN

>>16679945
Exactly.
However, BTC is just numbers in a digital space, intangible translucent vapor.

>>16680026
>They are not backed by anything
Its even worse than that.
its backed by the future labour of yourself & future generations. Every fiat currency is debt, it subjugates us.
https://www.bankofengland.co.uk/-/media/boe/files/quarterly-bulletin/2014/money-creation-in-the-modern-economy
>central bank can print an unlimited amount and it’s not going to ask you any permission to do that
The World bank/CBs (generally) won't let that happen as dirty/clean 'floats' are needed to keep the currency in line with others on Forex. aka the selling/buying of a foreign currency to keep one fiat in line with another one.

This 'simply printing money' meme needs to stop

The world is more efficient and powerful as ever, of course money is going to be dirt cheap
Gold is fucking barbaric totem, we are going to approach post-scarcity eventually but some people just cannot let go of the notion that somehow we are just gonna turn back time and go back to deflationary currency because surely the world is less prosperous in the future

>>16680438
>half the world's biomass gone since 1945
>post scarcity
yeah lol but only because we're all going to die of starvation

>>16680444
Humanity has had bigger crisis than this one
Climate change will destroy a lot of things, but things will be for the better post-climate change.
None of us will live the same way as we do now

>>16680097
This

>>16679945
I dont understand why BTCtards dont understand that the value of BTC is directly tired to the value of the dollar.

>>16680011
to pay bills