Old English Money

The english monetary system before decimalization in 1971 is quite complex and clearly impressive :

2 farthings = 1 halfpenny
2 halfpence = 1 penny
12 pence = 1 shilling
 2 shillings = 1 florin
 2 shillings and 6 pence = 1 half crown
 5 shillings = 1 Crown
1 Pound = 20 shillings
1 Guinea  = one pound and one shilling = 21 shillings

Bank assets as multiple of GDP

A quite interesting graphic posted in the Financial Times by James Mackintosh …  Fractional reserve banking has really created very strange schemes !!!!

Amazing numbers ! unrealistic financial world !!

This article shows well  the global financial system is clearly a ""joke .... "" . The numbers are incredible !!

http://theeconomiccollapseblog.com/archives/why-is-the-world-economy-doomed-the-global-financial-pyramid-scheme-by-the-numbers

Another system is possible !! Forget money as a wealth, mass production and mass consumption ! !!! Welcome mitigation, safety, sustainability, innovation , common interest !!

The "money value"  (gold or silver coins)  and   the "money debt"  (electronic money) increase the gap between the rich and the poor... and support only the  individual interest.

My wish of a "Money Link" is only to create good conditions for improvement of each individual, in the common interest.  Money should never be a problem !!! the skills, knowledges, lands,  foods, water , health should be our true worries.

« Outsourced Resources Banking » and Emergency management

It’s important to understand that Fractional Reserve Banking is creating money like a bet on the future … The Bank pays you now for your future productivity !!!   BUT HOW TO BET ON THE FUTURE AFTER A NATURAL OR INDUSTRIAL DISASTER ???  In emergency management ,  “Recovery “   is the last phase , but the longest. 

And for refugees or wounded people, money is truly  necessary at this time  !!!! In fact, disasters are often a good way to make people slaves of a huge debt.

Another answer is possible : For example, Foods, water, supplies, products , equipments  received in short term after the disaster could be seen as “outsourced resources”. So, this “ global emergency asset” should be convertible in an ad hoc unit of account ….. to manage productive  and useful projects among people affected by the disaster…. 

“Money Value” = History
“Money Debt” = Robbery
“Money Link” = (future) Reality …. I hope so ... A good "Money Link" must have a guarantee. Tokens or many complementary currencies are more often like  "Money Tool".

« Outsourced Resources Banking » and the international commerce

For centuries, the international commerce is based on two major pillars : Resources and Products. Therefore, the choice of the currency is crucial. It’s the main reason the first antic coins in electrum (alloy of Gold and Silver) were not truly appreciated.

Inside an Economy based on sustainability , security and mitigation, using “outsourced resources banking”, there is not a such problem, because the exchange could be based on the common interest .

“Money- Link”  is a reserve of value ad hoc and the perfect medium of exchanges.

Back in time to change the financial world !!!

The « money as  value » was limited by the supply of precious metal…. The “money as debt” is really a massive fraud …  Can the “MONEY AS LINK ” only be real  ?? Tokens or complementary currencies are valuable options at the local level, but they don’t have an intrinsic value.  

In History,  what were the options for a Kingdom without an enough supply of silver to mint coins??? In fact,  a single option : THE WAR.   The collapse of the Greco Bactrian Kingdom is a very good example of this craziness. Can we write an alternate history of financial exchanges  ??  I THINK SO . The land is the main ASSET …. A wealthy land was more precious than diamonds or gold.  Knowledges and transportations are the two major pillars of a sustainable nation.  

An unlimited growth in a limited land is not realistic  !!!! Security and mitigation should be the bases of a sustainable economy. So, a good currency is a valuable medium of exchanges, with only  a serious  guarantee. Instead to use swords to conquest Silver or Gold  (expensive and painful adventures), it was more useful to ATTRACT the  precious assets and the skills , by organizing  large common projects.  The assets could guarantee the unit of account used to pay the workers.

Slavery as labor force was massive in the past centuries, so it's not correct to create a connection between money and individual property (don't forget the  barter). From my part, i think people should be  motivated by assets,  not by money. 

Money as precious metal has limited the quality of  human relationships during centuries, when the world became smaller ...  During the last 500 years, the globalisation could be different based on security, sustainability and mitigation. Ironically, a massive paper money supply, out of nothing,  has created a better context for scientific and technical innovations at the international level.

A nation, a community, a society, a family, has a common value !!! A money is not a different social object.

A chart more interesting than 1000 words !!!

DO YOU STILL TRUST IN FIAT CURRENCY ??? Buying precious assets is a good way, but not enough, because Economy means "EXCHANGES" and "COMMUNITY".

Why « outsourced resources banking » ??

Complementary currencies or tokens are useful to support exchanges at the local level, micro credit is a good financial tool for the poorest populations …. But, how we could use “Outsourced Resources Banking” on daily basis??

Not creating money as a bet on future, like Fractional Reserve Banking , but using mitigation, sustainability and safety as a business model.  An asset is wealth, not coins or banknotes …. 

Any asset, any resource can guarantee  local  process of money creation for a specific goal…. Money is only a medium of exchanges, so anyone can create a unit of account for an ad hoc purpose. The exchanges between the asset and the know how are creating wealth ….. the single function of money is making this process easier. 

Coins in precious metal were useful in the past, the world was very large and the human life so short. "Money debt" is a huge mistake and a bad bet on the future.

Creating money only  for projects  is a good challenge !!!!

Private currencies….

In fact, there are no many differences between metal backed currencies and fiat currencies. Once, the metal or paper supplies are increasing, the money loses   value….

This article is quite interesting : 

http://www.forbes.com/sites/peterferrara/2013/03/01/rethinking-money-the-rise-of-hayeks-private-competing-currencies/  

With Fractional Reserve Banking, the money in circulation is only a “”bet”” (a debt) … I think Outsourced Resources Banking is a system giving a true guarantee for financial exchanges from local initiatives.