Matthew Mežinskis, creator of the Crypto Voices Global Monetary Base project joins the show to discuss how Bitcoin stacks up against sovereign currencies. In this episode:
- The difference between base money and broad money
- Why Bitcoin should be compared to base money and not the broad money supply
- How exchanges are serving as proto free banks – and why they might end up becoming transparent fractional reserve institutions
- How free banking actually worked
- Why unrestricted banking activity tends to equilibrate with single digit reserve ratios
- How the Scottish free banking system was stable despite fractional reserve
- How Bitcoin improves upon gold in a free banking system
- The role of Proof of Reserve in a neo free banking system
- The bankruptcy of the Ayr Bank and what it tells us about the Scottish banking system
- Why ‘free banking’ in the US wasn’t really free
- Bitcoin passes the Swiss Franc
- Where Bitcoin stacks up relative to all the major sovereign base monies
Follow Matthew on Twitter and check out the Monetary Base project.
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Aave is a decentralized, open source, and non-custodial protocol where users can deposits and borrow digital assets, and earn interest on those assets. Head over to aave.com to experience and learn more about DeFi.