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Re:FDIC Takes over Silicon Valley Bank by rafaelero on Friday March 10, 2023 @03:11PM (#35100210)
> What I don't understand is why do banks work this way?

People don't want to lose their money to inflation, so banks are implicitly required to make up for that. Also, it's just too tempting for them not to use the money that is collecting dust.

Hopefully people will emerge from this with a better understanding of Bitcoin's advantage to normal fiat system, which is something that is severely lacking in discussions I see here in HN.

Re:FDIC Takes over Silicon Valley Bank by hot_gril on Friday March 10, 2023 @08:31PM (#35104087)
Except the bank interest still doesn't beat inflation, let alone the rate of M2 increase. Chase offers 0.1% on savings accounts right now, which is useless.

I also long for a system where everyone holding the currency isn't implicitly taxed through dilution, forcing them to passively invest, creating bubbles... and still being taxed on the "gains." These passive investments are more about stashing wealth in something with a limited supply (stocks etc) than about the actual business they're investing in, making them not all that different from BTC.

Re:FDIC Takes over Silicon Valley Bank by rafaelero on Saturday March 11, 2023 @11:03AM (#35109439)
I agree. That's why we need a currency with guaranteed limited cap that can act as a device both for saving and for spending.