[BulgarianIdiot]

Without fractional reserve banking, banking kind of loses purpose. The problem is knowing where to draw the line. It's like dieting vs drugs. If you're a drug addict, you can stop taking drugs. But if you're trying to diet, you can't stop eating, so there's always this uneasy balance and a temptation to go overboard. Derivatives, risky bets, money printing.

[albatross13]

I don't think banking loses its purpose, but I do think it loses its insane profitability.

A bank is supposed to be a safe location to store my money, because storing it under my mattress is a far less guarantee of safety. It should be a slow burn towards profitability.

To your point, that goes out the window with fractional reserve banking and it's exacerbated when the Federal Reserve pulls shenanigans like remove reserve requirements...which still seems to be the case.

Either way the points are moot, the banking system ain't gonna change until we have some ungodly catalyst. Hopefully no one blames some dumb social media website for that either.

[BulgarianIdiot]

You described debit. And you missed credit.

[albatross13]

:shrug:

Get lost in the technicalities if you want- either way it's all a scam of loaning money they don't have. I hope you don't bank with first republic :)))