3 ms·
The only sources I can find about the Fed taking any kind of action against narrow or full reserve banks is on low-credibility websites with ideological agenda.
by nerdponx 4y ago
The only sources I can find about the Fed taking any kind of action against narrow or full reserve banks is on low-credibility websites with ideological agenda.
Can you describe what the Fed blocking action was and where I can read about it? I'm tempted to conclude that it doesn't exist without additional evidence.
- makomk 4y agoI'm pretty sure most of the credible, non-fringe discussion of this was on paywalled financial news websites unfortunately.
- nerdponx 4y agoWhat, like FT and Bloomberg? I didn't see anything like that.
- someguydave 4y agoThe Fed literally banned a full reserve bank last month: https://www.yahoo.com/lifestyle/crypto-bank-custodia-taking-fed-185612232.html https://www.yahoo.com/lifestyle/crypto-bank-custodia-taking-... Also there was a narrow bank proposal the Fed banned in 2019: https://www.bloomberg.com/opinion/articles/2019-03-08/the-fed-versus-the-narrow-bank https://www.bloomberg.com/opinion/articles/2019-03-08/the-fe... The Fed and other regulators greatly fear banks that do not justify their overreach (and also make existing banks look bad)
- nerdponx 4y agoThanks. The Yahoo article makes it seem more like the Fed was opposed to the cryptocurrency aspect than the narrow banking aspect. But the Matt Levine writeup is more apt.
- someguydave 4y agoThe Fed always give all kinds of excuses but the real problem is that they are afraid that banks that can demonstrate that they are run-proof without government aid might outcompete government-backed banks.
- tekknik 4y agoOr, maybe, just maybe, you form healthy economies via the movement of money, and not by letting it sit in a box. You think that may be it since it follows standard, non-politically charged, economic theory?