A Yahoo From Kansas City Also Defends Bitcoin 100% Full Reserves

But Opposes a Fiat 100% Bitcoin Reserve

Stephen Livera recently resurrected a sound money debate that was pretty well settled until bitcoin came along.

Let me start out by that I too defend a Bitcoin 100% full reserve. If this is the banking model Mr. Livera wants to follow and implement this is great! I follow it myself and I recommend it. I own Bitcoin. My bitcoin is largely off-chain and I have my own keys. And I consider bitcoin alone the blockchain and the only digital standard for money.

As a matter of fact, my own thoughts on the matter are that those who choose to do the same with a portion of their bitcoin hodl will end up being the bankers of last resort if we can relearn the lost art of commercial banking.

So what is all the hubris about? Quoting Rodney King, “Can’t we all just get along?” Can’t we just leave it alone?

The answer is, unfortunately, no. Those who regard anything less than 100% reserves criminal find it morally impossible to do so and advocate imposing their view on everyone else. Mr. Livera admits he clearly falls into this camp. No other banking except a 100% reserve in-kind is legal. Anything less is fraud. Sound commercial banking is banned.

Others make a less dogmatic claim and argue that anything less than a 100% in-kind reserve is a bad idea and fall short of making it illegal or calling it fraudulent.