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

If they barely had 10k in their vault, then it logically follows that they almost never need that much (otherwise they would obviously make it a point to keep more). If they rarely need that much, then it logically follows that somewhere at or less than 10k is a reasonable amount to have. There is no sense in taking the increased liability of having more if they don't need to.

Furthermore, acting as a "proper bank" means they do a lot more than just acting as your personal piggy-bank/mattress. If they have all their money tied up in cash, it means they can't actually be preforming real bank activities (investment).




Fair enough. But basically me and a couple of other people on this thread wanted to point out that the banking system is not very sound.

I just chimed in with my anecdote.


Your anecdote has more to do with the logistics of running a bank than it does with the soundness of banks though.


That may be, but it doesn't affect how sound the banking system is.

You think this is enough nitpicking, or do you want to go on?




Consider applying for YC's Spring batch! Applications are open till Feb 11.

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

Search: