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>> Presumably there would be value for users in knowing that their deposits are covered. Therefore, users who perceive value in this way would be willing to pay
by hef19898 4y ago
>> Presumably there would be value for users in knowing that their deposits are covered. Therefore, users who perceive value in this way would be willing to pay a premium.
Like banks which have to ensure, where I live up to 100k €, customer deposits?
- aww_dang 4y agoPrivate insurance schemes could offer another layer of protection and financialization. Under that scenario, fractional reserves could be used and insurers could be on the hook for mishaps. The article describes a technical solution for verifiable full reserves. Generally bank deposits are insured by the government. The central bank pledges to bail out customers for that minimum amount. Can't speak to the specifics of your area, but that is the common practice.