On Friday, March 27, 2026, at 11:11 AM, Matt Mahoney wrote: > Yes, I get that the US Federal Reserve and Bank of England, etc. are > privately owned banks licensed by their governments to print money. But so > are other corporations, except that the money takes the form of stocks and > bonds. All money is debt. When I loan you a dollar, we both have a dollar.
When you deposit a dollar into your bank account you are legally giving the bank a loan, it becomes their money. The bank can then lend out $9 created electronically since the reserve requirement is 10%. Most people think that the bank is lending out depositor savings. That's a small piece of the dilution issue, the more dollars created devalues existing dollars. Similar action with credit cards... If you lent someone a dollar in 1913 when the Fed was created it has lost roughly 97% of it’s purchasing power or 99% compared to gold even though it’s still a dollar. The Fed aims for 2% inflation, which is currently much higher, but even at that, you’re loosing purchasing power rapidly due to new dollars created. This money creation with derivatives results in all sorts of distortions in the system to where it becomes detached from basic economic reality. Currently there are multiple quadrillions of dollars in derivatives. The AI boom, through this and related means has created an exorbitant amount of new dollars to the point where it is has in many ways has just become a spend on anything as fast as you can frenzy with piles of derivatives on top of that. This money creation results in wealth concentration for those closer to it. The fiat system is tightly coupled with the legal system and it has been setup over the years preparing for an eventual cyclical collapse and reset. In a collapse entities go bankrupt, equities get pooled and ownership of assets is taken via collateralization. David Rogers Webb has written on that. Other systems are tightly coupled, medical, education, food, military and these are manipulated via money creation dynamics. Currently the system is moving into digital programmable stablecoins and a surveillance state without reform and this is going to make the value exploitation, omni-financialization and economic distortions even more inescapable and pervasive especially with integrated sovereign centralized AI. Just like detailed in “The Money Masters” the controlling entities make their moves behind the scenes. And as evidenced with the recent partial release of the Epstein files you get a glimpse of who these beings are and how they operate if one thinks a new digital AI monetary control grid needn’t be deeply reviewed, examined and potentially voted on. In a truly free society a system like this would not be forcefully imposed and required without viable alternatives. ------------------------------------------ Artificial General Intelligence List: AGI Permalink: https://agi.topicbox.com/groups/agi/Tc2616dc0a8577813-M6514d5356c8c0dd4b6e15a53 Delivery options: https://agi.topicbox.com/groups/agi/subscription
