Without our deposits, banks can not create money (loans), #goallin on #Btc
They require too little deposits to create that much credit.
Instead of limiting loans based on deposits, regulators require banks to hold a certain amount of actual shareholder money (capital) to protect against bad loans. For example, under the globally standardized Basel III framework, banks typically must hold roughly $8 in capital for every $100 in loans they issue.
Instead of limiting loans based on deposits, regulators require banks to hold a certain amount of actual shareholder money (capital) to protect against bad loans. For example, under the globally standardized Basel III framework, banks typically must hold roughly $8 in capital for every $100 in loans they issue.
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