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RE: What is Fractional Reserve Banking, and is it Fraud?

in #bitcoin7 years ago

"Somewhat largely perceived as a fraudulent practice"

That was a mouthful of fluffy nothingness, sometimes referred to as shiiiiit sandwich. Was it somewhat? or was if largely?

And it is not fraudulent practice when you are following the laws of the land. Fraud is specifically scamming someone by not following the law.

There are valid concerns with FRB. But you can't call it fraud.

Need to tighten up the writing a bit. Read a few articles from the Economist. Good pointers on a crisp writing style.

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Sorry for that vague sentence, I think a proofreading mistake happened there. My apologies!

Additionally, I thought "fraud" referred to deception of any kind. I personally believe FRB is deceptive because of many reasons, the most important one being that when you deposit money into such a bank, you're under the impression that all of your money is being kept safely at the bank— yet the opposite is really going on.

But you do bring up a valid point— FRB is fully legal. I think that's a problem as well. If the definition of "fraud" involves illegality, then you're right, FRB doesn't satisfy that.

I'm not perfect, and I'm still learning so I'd like to thank you for your feedback. I'll make sure to read some articles from the Economist, as you suggested. Criticism and feedback will only help make my articles better in the future :)

Thank you so much for caring about others enough to give honest feedback. We need more people like you on Steemit!