Hi TheGuySwann (npub1h8n…rpev) !, first of all thank you for all you do for the Bitcoin education space.
I don't want to be the 'actually 🤓' kind of guy, but I just wanted to point out a correction from an episode about Ecash being Self-Custodial around minute 1:02 (https://fountain.fm/clip/NYZOksMT97KgxEpA8HMv ) you talk about the free banking era and how the banknotes of other banks were valued at par against other banks by the population. This is not quite correct; at the edges of the financial system, there were money brokers whose job was to arbitrage by buying devalued notes and then redeeming them at par in the banks' offices.
Here is a quote about this topic from Rothbard's 'History of Money and Banking in the United States: The Colonial Era to World War II'. Page 78:
"In that era of poor communications and high transportation costs, the tendency for a bank note was to depreciate in proportion to its distance from the home office. One effective, if time-consuming, method of enforcing redemption on nominally specie-paying banks was the emergence of a class of professional 'money brokers.' These brokers would buy up a mass of depreciated notes of nominally specie-paying banks and then travel to the home office of the bank to demand redemption in specie. Merchants, money brokers, bankers, and the general public were aided in evaluating the various state bank notes by the development of monthly journals known as 'bank note detectors.' These 'detectors' were published by money brokers and periodically evaluated the market rate of various banknotes in relation to specie."
This would lead me to believe that, as Tony (npub1t0n…jgqv) said, there would be money brokers, likely 'bot' money brokers, that would act as arbitrageurs for different mints. Things like bitcoinmints.com could help create a web of trust and set a market for different ecash denominations and mints.
Thank you for all your great work!
Leito
npub1d7e…lrf3
2024-06-14 14:46:10
Author Public Key
npub1d7exvqfvxqyrq0j54e23gz6xj4lfj7qfssqamg60fkfp5f6mlzaskklrf3Published at
2024-06-14 14:46:10Event JSON
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"created_at": 1718369170,
"kind": 1,
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"content": "Hi nostr:npub1h8nk2346qezka5cpm8jjh3yl5j88pf4ly2ptu7s6uu55wcfqy0wq36rpev !, first of all thank you for all you do for the Bitcoin education space. \n\n I don't want to be the 'actually 🤓' kind of guy, but I just wanted to point out a correction from an episode about Ecash being Self-Custodial around minute 1:02 (https://fountain.fm/clip/NYZOksMT97KgxEpA8HMv ) you talk about the free banking era and how the banknotes of other banks were valued at par against other banks by the population. This is not quite correct; at the edges of the financial system, there were money brokers whose job was to arbitrage by buying devalued notes and then redeeming them at par in the banks' offices.\n\nHere is a quote about this topic from Rothbard's 'History of Money and Banking in the United States: The Colonial Era to World War II'. Page 78:\n\n\"In that era of poor communications and high transportation costs, the tendency for a bank note was to depreciate in proportion to its distance from the home office. One effective, if time-consuming, method of enforcing redemption on nominally specie-paying banks was the emergence of a class of professional 'money brokers.' These brokers would buy up a mass of depreciated notes of nominally specie-paying banks and then travel to the home office of the bank to demand redemption in specie. Merchants, money brokers, bankers, and the general public were aided in evaluating the various state bank notes by the development of monthly journals known as 'bank note detectors.' These 'detectors' were published by money brokers and periodically evaluated the market rate of various banknotes in relation to specie.\"\n\nThis would lead me to believe that, as nostr:npub1t0nyg64g5vwprva52wlcmt7fkdr07v5dr7s35raq9g0xgc0k4xcsedjgqv said, there would be money brokers, likely 'bot' money brokers, that would act as arbitrageurs for different mints. Things like bitcoinmints.com could help create a web of trust and set a market for different ecash denominations and mints.\n\nThank you for all your great work!",
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