“With a contraction in bank liquidity and lending and an increased radar for bank stress testing from regulators due to the recent turmoil, banks with the highest [Commercial Real Estate] concentrations could see a pull-back on their lending books to allow their debt to roll off,” writes Trepp, an analyst specialising in securitized mortgages. As a result, there could be lower origination volumes in the coming months and years.
A little bit off-topic but everyone will be better off when the banking systems collapse and people realize that giving power of currency to a very few people is bad for everyone. Right along with fractional reserve banking.
everyone will be better off when the banking systems collapse
I think no one would be better off if the banking systems collapse. We needed some reforms, including the fractional reserve system (I’d celebrate the comeback of the gold standard, for example), but no disaster, please.
giving power of currency to a very few people is bad for everyone.
Absolutely, I really couldn’t agree more. In my humble opinion, however, it’s not the power of currency to a very few people but rather the power of the only currency to a very few people which is bad.
This is why I’d say -once again- we need complementary currencies. Each of them will have its own drawbacks, but with a universe comprising fiat money and many alternatives at the local, national and maybe even global level for different use cases we’d be all better off imho.
Yeah, fiat is not the answer imo because of its very definition.
- Merriam-Webster Fiat: an authoritative or arbitrary order : decree
- an authoritative determination : dictate
A dictate requires men with guns who will threaten to end your life or throw you in a cage to enforce it.
I would rather not see a bank collapse, but i doubt people will learn in any other way besides pain. We absolutely need a seperation of money and state. Gold provides that in the physical world for sure, but you cant transmit gold over the internet to pay for your amazon order. This is why we need a cryptocurrency such as Monero
Fiat means decree, and fiat money is a currency that is decreed and backed by the government that issues it, meaning it is not backed by a commodity, such as gold or silver. This kind of currency has a short history as it arrived only in the 20th century (the only exemption were a few years in the 1860s in the US during the civil war, but that aside, fiat money was unknown in human history before 1913/14).
It has its name by the absence of this backing, but it has nothing to do with a threat to end one’s life or a cage or something.