Money creation is a subject as mysterious as it is central in our lives. We know that money makes the world go round, but few of us really understand how it is created, manipulated, and why it all directly impacts us.
The cash we have in our pockets is a tiny part of the world’s money supply.
The vast majority is virtual, resulting from scriptural monetary creation. When a bank grants credit, it does not lend you tickets that have already been printed. No, it simply creates money out of nothing, or almost. And that’s where the whole issue lies: debts that generate even more debts. A system that seems infinite, but at what cost?
In this new video available on our YouTube channel, we clearly explain the difference between central bankssuch as the European Central Bank (ECB), and the commercial banks. The former are supposed to stabilize the economy, while the latter generate ever-increasing monetary flows through the granting of credits.
A mechanism that fuels the economic machine, but which can also derail it if poorly controlled.
Bitcoin: The Response to Excesses?
And Bitcoin in all this then? Bitcoin was designed precisely to offer an alternative to these monetary excesses.
With controlled and transparent currency issuance, Bitcoin becomes a real competitor to traditional currencies, especially in a context where trust in banks is crumbling.
This video is a great way to better understand the opaque world of traditional finance and money creation. To watch without further delay!
