> is this any different than what banks have been doing for forever with fractional reserve No. They are different. The bank turns liquid cash into much les

> is this any different than what banks have been doing for forever with fractional reserve No. They are different. The bank turns liquid cash into much less liquid assets (houses, cars, boats, new businesses) by way of loaning out the money. All of the banks liabilities (the depositors) are backed by the banks assets (loans for stuff).