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A message from our CEO @TimYIELD on @YIELDApp's first-ever sports partnership with Premier League football club @WestHam ⚒
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This week on Fridays with YIELD App we'll be discussing the future of digital banking with some of the industry's most influential figures, including Jason Blick, CEO of @EQIBank and entrepreneur and author, @BrettKing.
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I’ve been looking at interest rates this morning.
The bond between inflation and interest rates is like a mother and her unruly child.
Here is what my own bank Monzo are offering.
I wonder if there was another way to earn interest…
SUMMARY - QE - Quantitive Easing
In theory it works, it’s unconventional and we haven’t yet seen the full process complete.
1. MONEY CREATED ✅
2. MONEY LENT ✅
3. MONEY SPENT ✅
4. MONEY DESTROYED - Pending
#Financial#financialeducation#Crypto
Once the cash flows back into the central bank. It will essentially ‘destroy’ the cash created by putting it back into the magic portal it was once created.
We haven’t yet seen this. The central banks still have HUGE deficits from creating the funds.
Essentially CREATING cash to pump into the economy. What most don’t know is that eventually the lending will become more expensive, and the cash will flow back into the central bank.
QE was first utilised during the 2008 downturn. Cash was pumped into bank reserves with the view that consumers / companies would have EASIER access to CHEAPER lending
This is why crypto has so much resistance.
The banks and governments aren’t in control on what interest rates are set. It’s the #PowerOfThePeople that influence rates, utility and enables transparency in the NEW financial system.
#Crypto#Finance#CryptoNews
When interest rates increase, the cost of borrowing also increases.
Typically this means more consumers will save and inflation will drop due to prioritising SAVING over SPENDING
#Shorts#Crypto#FinancialEducation