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I think the notes don’t last that long. I kept a 10 pound note in my wallet for a few years and it got destroyed far more quickly than US dollar bills. The pape
by randomhodler84 4y ago
I think the notes don’t last that long. I kept a 10 pound note in my wallet for a few years and it got destroyed far more quickly than US dollar bills. The paper just isn’t as good. I think the notes age out quite quickly.
- bombcar 4y agoAmerican "paper" money is almost a cloth, and surprisingly durable.
- randomhodler84 4y agoI didn’t actually realize that old 10 GBP paper note is now worthless except to the BoE until reading this. Sigh. Another example of physical savings in fiat paper being demonetized away by the state.
- woodruffw 4y ago> Another example of physical savings in fiat paper being demonetized away by the state. This is the reason why people joke about storing money in your mattress. You aren't supposed to do it.
- sneak 4y agoYou aren't supposed to do it because the state can't exercise veto power over cash transactions without due process. Cash is useful and powerful, so it benefits bankers and politicians to render stockpiles useless periodically.
- imtringued 4y agoActually the reason is much simpler. The government borrows money into existence. It has to eventually pay that money back. If you keep your cash under a mattress for all eternity then those debts can't be paid back because money is not returning from the private sector to the public sector. This also true for private debt, but it is particularly comical with public debt as all the money stored under a mattress has to be replenished to maintain a sufficient amount of currency in circulation. Imagine it as if you are the government and acting as a dairy farmer and your cows are constantly fleeing onto private land. You can't get those cows back, instead you breed new cows. Since no cows return from the private lands and there is a constant stream of escaping cows, private lands are being flooded by cows. People complain about the government printing too many cows, devaluing the value of their existing cows. You can see, this whole scheme is just a very backwards implemented debt jubilee in an environment where an actual debt jubilee would lead to pitchforks coming from the rich.
- randomhodler84 4y agoEg system requires rehypothication of private debt to sustain itself.
- zhte415 4y agoIf there are 'too many' of my cows on your land, my cows magically get smaller and the size of your cows on my land get bigger. You can see, car analogies are bad enough.
- zhte415 4y agoIt's value is to the person accepting it. £1 notes are worth more than £1, at least the last time I looked. As mentioned in the article, these notes can be exchanged at a bank or post office. Those out of circulation can be exchanged at the BoE.
- randomhodler84 4y agoThat’s great if you are in the UK, which I am not.
- desas 4y agoHow does it make a difference? Presumably they've always been near worthless where you are anyway?
- hn_throwaway_99 4y agoBut that doesn't explain why they would put an expiration date on the existing bills.
- throwaway742 4y agoThey want to know who has the cash.