>That's all fractional reserve banking is, and nothing about Blockchain prevents it. Implicit in my comment was the idea that it would be a bad idea to start a

>That's all fractional reserve banking is, and nothing about Blockchain prevents it. Implicit in my comment was the idea that it would be a bad idea to start a fractional reserve bank which used a currency of account that wasn't available in infinite supply from a nearby government. Also, I merely stated a way in which Bitcoin could be used as a sound bank, not that all possible banks which use Bitcoin are sound.