How? What happens to the balance sheets? And how is it moved actually?

it moves the dollars claims between the banks. one bank removes the liability the other adds it.

No, this is completely wrong. Treasury bonds are often used as a collateral for borrowing reserves.

Reserves are balances that banks have on their account in FED and cash (paper money).

Reserves are something that does not have a counterparty risk - you either have it or you don't. (They have fiat value risk, but you don't need anyone to provide you anything else, like is the case with normal bank balance).

Reserves are also used to settle payments between banks, which is the real limit to creating new dollars. If I get a mortgage and wire it to another bank, the bank needs to pay with reserves held in central bank.

If they don't have enough, they go to repo markets (which briefly dried up in 2019, that's why many people learned about them, but they are huge) where the gov bond is used as the most common collateral.

This is where it gets tricky - because you can create dollars completely without dollar reserves. Usdt, DAI, eurodollar...

So a funny question - what happens when you wire an eurodollar created by Deutsche bank to JP Morgan?

Recent realization: Most Bitcoiners don't actually know how the fiat system works. On any level. They have superficial understanding that there's some monetary expansion going on (usually wrongly attributed just to the central bank). They have some understanding about how the payment networks work, mainly from the failures, but don't understand the details. They repeat mantras (which are usually true), but don't have any logical theory.

It's OK, even with this superficial understanding, you can see why Bitcoin is better. And their superficial understanding is still better than no understanding, which is 99% of nocoiners.

But still it's fun how wrong they are.

Good questions to figure out if they know what they are talking about:

- What is a dollar?

- What exactly is the balance in your bank account? What does it mean?

- What is eurodollar?

- How many dollars there are?

And my favorite:)

- How could you (even if you are not a bank) create new dollars today?

Musim nahlasit kradez, prave jsem byl proti vlastni vuli donucen poslat statu nechutne moc penez!

Husband casually "Oh, and can you please explain me this?"

*opens kitchen drawer*

*digs behind some stuff*

*pulls of Toffiffee box*

"THIS??"

*It's empty, he waves the hot evidence in my face*

I must admit it's pretty hard to lie your way out from some situations. 👀😅

🇨🇿 Nezbývá než jako v Cimrmanovi: A drze se přiznal. 👀😅

Devil's advocate:

A 2 year-old code base is a brand-spanking new code base.

The existing codebase needs to be maintained, while building the new one. There are architectural patterns to help with the step-by-step migration. You could have also found someone to help maintain it, while you work on the new version.

I just hardcoded a link to your relay view into Alexandria, yesterday, and I'm totally gritting my teeth at needing to rely on you to maintain that view. That shouldn't be making me so nervous. I can't work with tools that don't get repaired, when they are broken.

So, I can add "Build relay view" to my ever-growing list of Nostr functionality that I am building in order to build.

😂

A Babel tower of code, fallen down to gibberish.

That is the important question. I don't know the answer.

I just see that the response to "Can you fix that weird thing your app does? It's currently completely unusable." used to be "learn to code and send me a PR" and now it's usually "go vibe-code your own app".

ok, who's goal?

:confusedgirl_sm:

You don't get the goal.

The goal is that everyone uses completely different apps, that all do the same exact thing, so that it isn't possible for a human to support or maintain anything, and we all are slaves to the AI, and nothing ever matures, advances, or works smoothly.

Then all apps are bad apps and nobody can complain.

And it won't get better with all "code vibers"

If you've abandoned a major project for months at a time, even once, don't expect me to ever go back to using it or recommending it, again. And don't expect me to care about anything you are building, going forward.

You are not a reliable provider. You are just playing around and I don't play.

⚡️🇩🇪🇨🇳 NEW - Court rules German spy agency does not have to disclose its files on the origin of COVID-19. The country's "diplomatic relations with China could be at risk," BILD reports.

Yes. But that's almost always where they stay.

I'm mildly nervous about supporting eCash on Alexandria, as I worry that less-informed users will get rugged and think it was our app.

Nobody seems to know that eCash isn't Lightning, and therefore is decoupled from Bitcoin. It's tokens/coupons/IOUs issued by someone with a Lightning node.

We also want to serve people with very little money. What if they earn what is to them quite a few sats, and then watch it just disappear?