3 ms·
Because cows aren't really fungible, but stocks are. If I borrow $10 from you, you don't expect the literal note that you gave me back. I can give you $10 bac
by mehwoot 6y ago
Because cows aren't really fungible, but stocks are.
If I borrow $10 from you, you don't expect the literal note that you gave me back. I can give you $10 back in coins, or $10 transferred to your bank account. I can burn the $10 note you gave me, give it to a homeless person, or re-lend it to my friend. There's nothing illegal about that.
On the other hand if I borrow your car, you're expecting the same car back. I can't sell it and then give you another similar car in return. I can't borrow your car and then lend it to my friend.
- otoburb 6y ago>>I can burn the $10 note you gave me [...]. There's nothing illegal about that. Not to detract too much from your analogy but burning money is illegal in some jurisdictions[1], and in the United States is prohibited under 18 U.S.C. §333: "Mutilation of national bank obligations"[2]. [1] https://en.wikipedia.org/wiki/Money_burning https://en.wikipedia.org/wiki/Money_burning [2] https://www.law.cornell.edu/uscode/text/18/333 https://www.law.cornell.edu/uscode/text/18/333