Comments by "Andrew Sainsbury" (@andyinsuffolk) on "We need a Bank of England, but not the one we’ve got" video.

  1. Fiat currencies like the pound would be fraud in a free society. Giving licences to private traders allowing them to charge interest (rent) - on something that they don't have, and just create as bookkeeping entries when required, is mafia fantasy. BUT it frees politicians from financial responsibility and they make the laws. The answer to your specific question might be that the BoE doesn't distribute (most) profits so any interest charged still belongs to the state and makes no difference.
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  2. Regulating contracts & exchange needs an authority structure - not sure why we need a separate institution though, the fewer the better. In a free society having politicians or bureaucrats setting the price of virtual currency that they permit to be created by license is really a fraud. The evidence after several generations is that neither have any idea what they are doing - let's have solid asset based currency/currencies with politicians having no say about their value. Democracy & freedom is always the answer.
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