6 ms·
> Nvidia is creating a lot of money in our economy. Wrong: a) a company cannot create money in todays modern 2-level fiat systems, this can be done only by ce
by KellyCriterion 3d ago
> Nvidia is creating a lot of money in our economy.
Wrong:
a) a company cannot create money in todays modern 2-level fiat systems, this can be done only by central banks
b) what NVDA does is "generating requests for more money in the system", throughthe demand side (either taking loans themself or having lots of customers who are willing to take a bank loans to invest, or other participants who wants to buy whatever stuff on a loan)
c) any money that is created on the "local bank system level" needs to be there on the existing central bank account when the money is leaving the local system, ie. transferred to another bank (like "paying NVDA bill for delivery of some chips")