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by Closi 1944 days ago
Banks that are for-profit companies add to the money supply (via loans) but don't 'create new money' in the same sense as mining Bitcoin.

Mining bitcoin is most similar to a central bank printing/issuing money (except it's issued to the person that can waste the most electricity or show proof of stake rather than being issued selectively by the central government).

Banks can add to the money supply by lending out money which has been saved in them by others, but there is nothing unique to fiat currencies about this, and the same can be done with Bitcoin or other crypto. I suspect you wouldn't say that 'banks can create new bitcoins without mining', but that's the same thing as saying 'banks can create new money without printing it'.