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March
18, 2023
from
FinalWakeupCall Website
Spanish version
Fractional reserve banking fraud
Once this issue is fully understood, you are forever awake and
capable, joining forces to free planet Earth from its oppressors.
This article explains the structural banking crisis in the cabal-run
money system, that has reached the end of its cycle and cannot be
repaired.
The cabal has prepared the introduction of their new
IMF-issued
SDR one-world money system, but our
Pleiadian brothers
and sisters are in control of,
introducing a new off-world people
controlled money system called
QFS (Quantum Financial System)...
Freedom from slavery begins with freedom from corrupt money systems
The global financial system is organized around centrally managed,
private fiat fractional reserve currencies, this instrument of the
global banking elite enslaves by design the public through inflation
and inability to repay debts.
The money masters' attempt to take control of the world with their
debt-backed money has given them enormous benefits, resulting in
economic imbalances and fiscal atrocities, which can be observed in
every corner of the world.
Under a 'fractional reserve banking' system, banks can lend in
multiples of the amounts they have in customer deposits.
In such a
system, banks do not hold enough legal tender (cash) to meet the
withdrawal requests of all their depositors.
If many - not necessarily all - depositors were to withdraw their
money, the banks will not be able to meet their request. Therefore,
fractional reserve banks rely on government securities to give
depositors confidence that their money will be available when they
need it.
If this security falls away - which has happened now - and too many
depositors withdraw their money, is called a 'bank run', and banks
may fail, followed by
bailouts such as
bailins, among others.
In the long run, fractional reserve banking leads to an oversupply
of money and rising consumer prices and assets, called inflation...
Consumer price inflation is overtly government theft, and,
harms the
less wealthy by increasing their cost of living, while asset price
inflation benefits the rich by increasing the paper value of their
assets.
Money creation privilege is extra funding for banking sector
Because banks collect interest on money created out of nothing that
costs nothing, society pays for it, in the form of taxes and
interest charges to offset any expenses.
Even interest on public
debt created out of nothing as well.
In short,
the Khazarian private banks are the direct beneficiaries
of the current fractional reserve system, at the expense of all
citizens.
These criminals have deliberately caused the current
financial crisis...
It should be clear, that money cannot retain its value in this
environment.
If a currency retains its value, authorities have less
reason to lie about its performance. They can honestly declare that
money is healthy and that their citizens' savings are getting a
little more valuable every year.
Savers are rewarded for saving,
while borrowers are punished for spending.
When fractional reserve banking is abolished, banks are no longer
the spreaders of a flood of newly printed money, are much less
powerful, have less incentive to make unwise loans for direct
commission income, and control fewer resources.
Fractional Reserve Failures
The fractional reserve system has three flaws that distort the
feedback mechanism that is essential for free markets.
These flaws
are:
-
If too many savers want their money back at once, they are
disappointed, and the bank goes bankrupt because it cannot convert
its outstanding loans into cash fast enough to meet savers' demands. Ultimately, this leads to distrust, and bank runs
- the system
fails.
-
The system itself inevitably destroys its own currency. It can
create virtually unlimited amounts of credit, but credit is not
wealth. The result is a devaluation of the currency that yields less
and less in relation to the real wealth of the economy, resulting in
inflation, certainly not an acceptable store of value.
-
It distorts markets and misallocates resources. To perpetuate the
myth that paper money is as good as gold and silver coins, bankers
count on governments by demanding that both the original
"trust
money" and the "debt money" they created circulate at "equivalent
value", while the latter could only be accepted at a discount
because of the risk involved.
Fake money
If you want to know who the most criminal money scammers on this
planet are, and how this works, you should read to the end.
There is
no greater scam than that perpetrated by central bankers:
the
Federal Reserve (FED), ECB, BoJ, etc. have
"illegally" obtained a monopoly
on issuing money and controlling supply.
They can increase or
decrease their balance sheet for free whenever they want, by buying
assets with fake money, which is mostly perpetual government debt.
Central Banks have roughly quintupled the adjusted monetary base
since 2008, while keeping interest rates near zero.
In other words,
they constantly manipulate the money supply and interest rates, to
bail out banks and finance huge government deficits...
Money is at least half of almost every transaction.
Manipulating
money is manipulating the entire economic system. The basic unit of
the system is a kind of money the world has never had before; the
post-1971 fiat dollar and later the euro.
It is paper money - worth
as much as people think it is worth, managed by people who think it
should become worth, less as time passes.
Economist Richard Duncan, in his book 'The New Depression', points
out that the amount of liquid reserves banks have to hold against
their loans is now so small that there are "almost no limit" to the
amount of credit the system can and has created.
Banks are only
required to maintain a certain "capital availability ratio". This
limits their lending to a multiple of their equity, which is their
shareholders' money.
Of course, money is only valuable as long as there is not too much
of it. The market can absorb a little fake money. But there is a
limit...
And that limit has been greatly increased, thanks to:
-
A global overcapacity of production, financed by previous borrowing.
-
A huge glut of cheap
labor, also largely generated by the credit
expansion of the last 30 years.
Without these two unique circumstances, central banks' irresponsible
policies -
QE and
ZIRP - would probably have caused inflation to
rise into double digits or even higher.
Further, we need not worry about how much governments borrow.
Central banks buy bonds from governments
- hold them on their
balance sheets - return the interest payments - and the whole thing
is forgotten.
And when those bonds mature, central banks can use the
repaid principal to buy more government debt!
In effect, the current group of central bankers is doing something
that previous central bankers could only dream of:
printing money
without causing inflation.
The fraud
summarized
The unauthorized "pledging" of citizens' trust money, to central
banks for the creation of debt money, is an unforgivable criminal
act by the government.
Pledging collateral for worthless debt money, created from nothing
and then made equivalent by linking faith in it with the trust
money.
For this manipulation, taxes are created to force citizens to pay
for the invented "perpetual" national debt, which is an absolute
impossibility in itself, to then pay it off in currency issued by
the same central bank, which was created out of nothing...!
Then mixed with trust money already in circulation makes this scam
invisible.
Collapse of Global banking system
Once the money scam is understood,
Why should we be obliged to repay
these loans?
Where did the money come from?
It did not come from
taxpayers.
It came from nowhere, like all the money in the rest of
the world.
And what if it is not paid back?
What difference does
that make?
NOTHING...
In the new world, money plays no role, as there is enough
available for everyone.
This is just the beginning...!
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