How to Make Money from Thin Air
Everyman’s Guide to the Fractional Banking System
“It is well enough that people of the nation do not understand our banking and monetary system, for if they did, I believe there would be a revolution before tomorrow morning.” — Henry Ford
What if you saw an advertisement that looked like this:
“Simple money making system so powerful that you can literally double your money everyday! That’s right! Imagine driving home tomorrow in a new Lamborghini, sailing on your 80 foot yacht on the weekends, being the envy of your friends and neighbors, all while relaxing by the pool and filling out one simple form anytime you want another fat paycheck. You, YES YOU! can multiply your money so quickly that it will boggle your mind. Join my mailing list today for FREE information!
Would you believe an ad like that? Or would you say, “Oh, it’s too good to be true. It must be a scam”, and just scroll down?
Well, I agree it is a scam.
But it is a scam that is carried out everyday… by your own private bank within the network of the Federal Reserve.
It is called the Fractional Banking System.
Here is how Fractional Lending works.
Let’s say that Tristan wants a loan from the bank. So he goes down to see Roth, the bank loan officer, for a small loan of 1000 coins. In order to “secure” the loan, Roth asks Tristan to merely deposit 100 coins into the bank, or 10% of the loan amount.
Now, all Tristan has to do is pay back the loan with interest over time at, say 10% per year, just to make my math easier.
Because of the way the Federal Reserve works, Roth (the bank) is then able to lend Tristan the 1000 coins via the Fed. Remember, Roth only has 100 coins at risk (that Tristan gave him), but he is now making the interest on 1000 coins, or 100 coins per year. So he is actually making a 100% return on the money that he is holding, because he only has 100 coins and is making an additional 100 coins in interest every year.
Did you ever wonder why the bank always wants a 10% deposit?
It is because the Federal Reserve allows them to loan 10X of the amount that they have in their bank reserves. So they ask for the 10% from you to give you the 100% loan for which you applied.
In that way, bank doesn’t risk anything….
Imagine being able to deposit $100 into an investment and receiving $100 every year in interest (10% of $1000). That is a 100% return on your money, basically unheard of in the financial world available to you, the ordinary citizen.
Of course, this scam isn’t available to you.
That would be illegal.
But wait! There’s more!
If Tristan were to take 100 coins from the 1000 that he received and deposit that back into Roth’s bank, either for his savings or to repay his loan, Roth would then be able to lend out an additional 1000 coins to someone else…
… and make the interest on those coins as well.
So, in effect, Roth received 100 coins from Tristan (Remember, Tristan had the coins first; Roth had nothing). And, not only is Roth now receiving the interest on 1000 coins, but he is also receiving the interest on an additional 1000 coins from the new loan.
Roth started with nothing, received 100 coins, and now has 200 coins per year in income from the interest alone.
With no risk at all.
Because if Tristan were somehow unable to repay his loan, does the bank suffer? No.
Does the Federal Reserve have to bear the loss? No.
ALL of the taxpayers, including Tristan and everyone else, have to lose their wealth to cover up the banking scam.
Remember the 2008 “Financial Crisis”?
Has anything fundamentally changed?
No.
The bank is STILL literally creating money from thin air.
And where does the Federal Reserve (or central bank) get the money to give to Roth to give to Tristan in the first place?
You guessed it; they created it out of thin air too.
And they still are…
… everyday.
Just like “The Wizard of Oz”, it is all just a show, with an old man (the financial system) pulling levers to make it all appear “Real”.
But none of it is real; it is all just illusion.
“The greatest achievement was at first and for a time a dream. The oak sleeps in the acorn; the bird waits in the egg; and in the highest vision of the soul a waking angel stirs. Dreams are the seedlings of realities.”
— James Allen
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