Making Money Out Of Thin Air
This is a concept that many people have strong opinions about. Because of a lot of misconception, we tend to attribute more to money than is really there.
In this video I discuss the concept of making money out of thin air and how we have a huge opportunity in crypto. We are now able to follow the roadmap the true money makers, the banks, laid out for us.
▶️ 3Speak
0
0
0.000
I have heard about the system where people pay monthly but I don't think I have really seen it being used. I guess it's similar to how things are with a credit card though and I guess making money out of nothing isn't that big of a deal.
Posted Using LeoFinance Beta
Summary:
In this video, the speaker discusses the concept of creating money out of thin air, diving into the workings of the monetary system, banking industry, and the creation of money over the years. He emphasizes that money creation has been happening for hundreds of years and that understanding how money is created can be crucial in challenging traditional banking systems.
Detailed Article:
The speaker starts by introducing the idea of creating money out of thin air, pointing out that people in the cryptocurrency space often misunderstand the essence of the monetary system. He highlights that the monetary system is essentially a combination of accounting and communication, illustrated through ledgers, and in the case of cryptocurrency, distributed ledger technology like blockchain.
The speaker delves into the roles in the money creation process, distinguishing between bankers, governments, and central banks. He asserts that bankers are the ones involved in creating money, both domestically and internationally, whereas governments and central banks are more immersed in governing and engaging in propaganda and manipulation.
Furthermore, he discusses the distinction between commercial depository banks and investment banks in terms of the forms of money they deal with. While commercial banks handle traditional currencies like USD, yen, euro, and pound, investment banks engage in a broader range of financial instruments. The speaker emphasizes that cryptocurrency follows a similar path in the financial line, particularly referencing the euro dollar system's ability to create money out of thin air, culminating in deflationary pressures due to a lack of balance sheet capacity.
The speaker shares a personal anecdote from his childhood, illustrating how money creation through extending credit has been a common practice for centuries, undertaken by shopkeepers and merchants. He points out that while this practice is not as prevalent today due to the rise of major retail chains, mechanisms like subprime lending facilitated by larger financial entities still enable money creation through credit extension.
In conclusion, the speaker advocates for understanding and emulating the strategies used by bankers to challenge traditional banking systems. He dismisses notions of money being inherently backed by government or higher authorities and argues that comprehending the dynamics of money creation is essential in reshaping financial paradigms.