Bank Bailouts and Credit Default Swaps

Day 5,597, 03:49 Published in Croatia Croatia by Mars and Cars

What has been happening recently is very important to understand, because its not the first time in history.

Simply, betting money on will banks default or not.

When banks default, they are very leveraged with the money of their clients and borrowed money from other banks and the government. They declare that they do not have as much assets on balance sheets and cannot cover a bank run.
Unfortunately, if you have 90% backing for your currency, it doesnt have 90% of its value. For many people that want to withdraw their money, they wont be able to. Alleged FDIC ensured banks will be able to return up to $250K to their investors, but it might happen quite far in the future when the money and debt is inflated away.

What our Satoshi event was showing is that all of our money can be able to be withdrawn at once. Everyone can use, send, spend or transfer between accounts all of your belongings at all times. Meaning that every block is basically a potential bank run, making sure all the money is where it was 10 min ago, in the last block.
That way we solve the problem of double spending and we can have complete transparency of government spending of taxpayer money, its extremely important for people to be able to verify themselves where their money has gone, exactly to the last sat.

Overall, having deeper understanding of conservation of energy will allow you to think on a higher level on what money should represent. As you see, I havent mentioned the price of Bitcoin even once, even tho its up over 30% in the last week. The price is the least interesting statistic of BTC, there are dozens more interesting things to follow.

I believe this is going to change the accounting and keeping assets in management forever. As the number Zero was added around 300-400 hundred years ago in Europe and western math, Bitcoin economics will allow us to tap into digital space of energy conservation, transport, communication, education and so much more.

Fix the money, Fix the world. Or HFSP