Let me see if I can keep this simple, non-technical and non-confusing! ?! Let us say that YOU deposit $100 into your bank account. YOUR bank then loans out $90 of your money to somebody else and reserves $10 in case you want to make a withdrawal. This is called FRACTIONAL RESERVE LENDING. The BORROWER then buys a car for $100 (for example)where the bank physically had $90 to loan but had to MAKE-UP the other $10 (just by typing the numbers into a computer). The car seller then deposits that $100 into their bank account. Their bank then LOANS out 90% of that money and RESERVES only 10% (in case they want to make a withdrawal too). Now this is where THE BANKSown system is VERY WEAK! When bank-runs occur (extensive amounts of money are moved/ withdrawn) the banks DO NOT have the finances to feed/ supply the demand. This is when the BANKS close their doors/ shut down their systems. This is what a BANK HOLIDAY is... You probably know/ are familiar with the phrase BANK HOLIDAY FRIDAY/ MONDAY!!!!! The reason as to why the 2007/08 global financial crisis occured was because VERY LARGE QUANTITIES OF MONEY were being moved/ withdrawn out of the stock markets/ financial system, and it was only A MATTER OF HOURS before there was a total meltdown of the GLOBAL FINANCIAL SYSTEM, as the system cant handle/ is not designed for such a drastic/ massive pulling of the plug! We know that the list of countries (throughout the world) is getting longer that have ALREADY BANNED larger denomination bank notes! They use the reason... TO COMBAT MONEY LAUNDERING, but we already know that this is TOTAL BS! They use the same reason for trying to kerb/ smear/ tarnish CRYPTOCURRENCIES too (and also to combat TERRORISM).... DUMB ****s!!! By forcing us down the avenue of a CASHLESS SOCIETY, our money STAYS in the system unless we make a TRANSACTION. Only yesterday, I had a VERY INTERESTING CONVERSATION with MY BANK! TODAY we have LEE-WAY (for payments), but TOMORROW there WON`T BE ANY LEE-WAY!... YOUR bank account will just be SHUTDOWN/ SWITCHED OFF! If that happens (to you) how will you then pay for WATER+FOOD etc. etc.?
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