Hey Leofinance Lovers
Bank is a company engaged in financial services. With the Bank, we can easily save and send money wherever we want. Therefore we need an agency for remittance services.
For a moment, let us know the background of how the Bank works.
Actually, the Bank has none at all. It is only a body that encourages the economy to live and can help make human performance easier, such as financing and improving people's lives.
The bank was founded by an investor, a contractor who paid a higher salary, wanted to save his money. He must keep it in the bank. And of course he will keep the money in the investor's bank. Thus, the Bank already has as many assets as the deposits held by investors, for example $1 million.
At the same time an experienced cook with a flat pocket is in town, for example in California. He saw business opportunities and opportunities, that in the city of California it was very good to set up a bakery. He also went to a bank in the surrounding area. He wants to find credit from a bank to be able to open a business selling bread. He thought that he would get a big profit from selling bread.
After meeting with the Bank, he got a credit from the Bank for $1 million. And he also hired a contractor. Of course a well-known contractor in the city. Contractors are paid a hefty salary to get a place and get a hefty fee. The contractor got back $1 million from the baker. He went back to the Bank and put his money back in the Bank, how much had he deposited in the Bank+$2 million.
The baker has not equipped all the equipment needed to sell bread. He still needs facilities, such as pots, pots, and open. Of course I went to the bank again to add credit. The bank again rolled out an additional $1 million in loans, plus an old loan of $2 million, equal to all the modified contractors amounting to.
Please note, briefly the Bank does not have money, it only rotates the paper to be signed between the contractor and the baker. The bank is just a body played by an investor with numbers and beliefs. So he can only enjoy any interest earned from the baker's deposit.
In fact, neither of them had any money. Money is only a medium of exchange as a form of payment for services for both. But the investor is more observant about it, so he can build enthusiasm for the baker and contractor.
What if the business of selling bread does not work, will the Bank lose out?
The answer is that the bank never loses. While the bread seller must be responsible according to the credit agreement. He as a customer must pay off the money according to the rules. However, he also did not lose, because the financial law did not incriminate him against the credit.
What's the solution?
The government had to step in when the bank went bankrupt. This is because all proceeds from the sale of bread are subject to a share of the tax that will be received by the government. Likewise, when the contractor needs money suddenly. So the Bank has to work with the money-printers, to pay for all the money that is needed by those who need it. The bank will be very urgent if it does not get paper money in a short time, when the money is needed.
Back to Crypto.
Now the world has changed. Good people are looking for ways to keep honesty safe. The answer is we have to work in Crypto.
Why should we defend Crypto? Crypto money is not printed money. We have to save as much as possible, to maintain the wealth of our community here. Some people who are not decentralized will lose half of their life, when paper money is no longer printed. Crypto money will better guarantee our future, where the role of crypto money cannot be taken over by petty investors. Thank you so much, hopefully useful.