There has never been a failure of a currency board anywhere in the world. These are tough systems, and when I say they are foolproof, that's exactly the case.
Sentiment: NEGATIVE
The failure of one regional bank, assuming it is following a traditional model, will not threaten the entire system.
Paper currency has hitherto been regarded with suspicion, as insecure.
The only true currency in this bankrupt world is what you share with someone else when you're uncool.
The world's central banks and the International Monetary Fund still have vaults full of bullion, even though currencies are no longer backed by gold. Governments hold on to it as a kind of magic symbol, a way of reassuring people that their money is real.
You shouldn't be trying to create a system where no bank fails, but you should be creating one that catches a bank and allows it to fail without impacting the financial markets.
Virtual currency, where it's called a bitcoin vs. a U.S. dollar, that's going to be stopped. No government will ever support a virtual currency that goes around borders and doesn't have the same controls. It's not going to happen.
A currency designed for long-term storage and investment doesn't do so well at encouraging transactions and exchange in the moment.
At least Bank of America got its name right. The ultimate Too Big to Fail bank really is America, a hypergluttonous ward of the state whose limitless fraud and criminal conspiracies we'll all be paying for until the end of time.
It's not so unusual to run out of someone else's currency.
In this age, if the currency of a major nation collapses, or its access to borrowing ends, it just can't function.