Hacker News new | past | comments | ask | show | jobs | submit login

The dominant explanation among leftist economists in Europe is that banks wants to set negative interest rates on consumer bank accounts. But that only works when cash is eliminated. Otherwise, negative interest would cause a bank run because keeping the money at home in cash is literally more profitable than leaving it in the bank account.



So basically, the protocol they use for monetary policy doesn't work, so they're trying to prevent deflation by eliminating cash.


The interest rate is already de facto negative, 0% interest rate and fees on checking accounts. People still use them, because they value the convenience.




Consider applying for YC's Fall 2025 batch! Applications are open till Aug 4

Guidelines | FAQ | Lists | API | Security | Legal | Apply to YC | Contact

Search: