The reason that there is “credit note inflation” (I.e., money printing) is because the layers works at different velocities causing an impedance mismatch between the layers.

nostr:npub1a2cww4kn9wqte4ry70vyfwqyqvpswksna27rtxd8vty6c74era8sdcw83a put her finger on this issue in her book, Broken Money, when the telegraph enabled IOUs to travel at the speed of electricity (light). The telegraph enabled ledgers to be synchronized around the world. Gold still had to be delivered by warship.

Now all three layers can operate at the speed of light. Impedance mismatch is kept to a minimum and credit is governed by actual trust, not exploited due to bottlenecks between the layers.

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