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In principle you need a banking license in order to create money, so not "anybody" can create money. For example, I can't, and neither can you (unless you're a
by cryptonector 6d ago
In principle you need a banking license in order to create money, so not "anybody" can create money. For example, I can't, and neither can you (unless you're a bank, which I suspect you're not_.
- neilwilson 6d agoIf you work for me and I owe you, that’s money. You can sell that debt on to somebody else in exchange for goods and services. That’s all money is - a circulating debt.
- KellyCriterion 6d agoNot necessarily, could also be IOU, but usually today its the local money from a state/gov - you could also sign up for working for "1 liter of milk,3 potatoes etc."
- imtringued 6d agoHis point is that vendor loans are a way to get around the banking license restriction. Of course this only works between two entities, not a general customer base. They get around that problem by pumping their valuation on the stock market where anyone can join.