Fractional Reserve Banking

From Bitcoin Wiki

Revision as of 17:19, 26 December 2015 by Flix (talk | contribs) (mini)

(diff) ← Older revision | Latest revision (diff) | Newer revision → (diff)

Jump to navigation Jump to search

Fractional Reserve Banking is the practice whereby a bank holds reserves that are a fraction of its deposit liabilities. It contrasts with a Full Reserve Banking system in which banks must hold reserves for 100% of on-demand liabilities.

Retrieved from "https://en.bitcoin.it/w/index.php?title=Fractional_Reserve_Banking&oldid=59674"