Bits and Pieces

[FreedomOutlaw]

"I have no idea how bitcoin works. Do you open an account with a deposit of Federal Reserve Bits, as if it is a conventional foreign exchange transaction, or what?"

Response:

Yes. You actually need bits (and pieces) of a Federal Reserve Bank. However, not all Fed branch buildings are worth the same. For example, a piece of the NY Fed will bring in far more than a piece of the St Louis Fed. The mother load is a piece of Ben Bernanke's skid marked underwear that he crapped in when he was being questioned by Ron Paul in a Congressional hearing.

[Atruk]

For example, a piece of the NY Fed will bring in far more than a piece of the St Louis Fed.

I thought the St Louis Federal Reserve Bank has a history of more prudent action than the others.

[Foxpup]

For example, a piece of the NY Fed will bring in far more than a piece of the St Louis Fed.

I thought the St Louis Federal Reserve Bank has a history of more prudent action than the others.

Which is exactly why it is worth less. For a central bank, "prudent action" and "making money" are mutually exclusive.

[FreedomOutlaw]

For example, a piece of the NY Fed will bring in far more than a piece of the St Louis Fed.

I thought the St Louis Federal Reserve Bank has a history of more prudent action than the others.

Yes. That's why it is worth less. Kansas City would be the least valuable (Thomas Hoenig) and Philly the second least (Charles Plosser).  Only two inflation hawks left in the Fed system. Although I think Hoenig retired.

[Gabi]

This thread: lol