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> Yes it does. Wow. Information/knowledge is one click away. I highly advise Google.
by antr 13y ago
> Yes it does.
Wow. Information/knowledge is one click away. I highly advise Google.
- maxerickson 13y agoI searched out this: https://www.khanacademy.org/economics-finance-domain/core-finance/money-and-banking/banking-and-money/v/banking-3--fractional-reserve-banking https://www.khanacademy.org/economics-finance-domain/core-fi... It would be useful for you to explain how 'making loans of deposits' is not a reasonable simplification of that. Of course actual banking practice is more complicated, but the core meaning of fractional reserve banking is to make loans (or investments, but that is a reasonable thing to leave out in a simplification) out of (demand) deposits (the difference between a deposit and a demand deposit is just a technical matter, for btc the lending institution and depositor would have to work out how immediately available the deposited coins would have to be).