The Bank of England just repeated a similar bailout that potentially inspired the creation of Bitcoin.

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by COINS NEWS 30 Views

On the 3rd of January 2009, The Times published a front page article with the heading "Chancellor on brink of second bailout for banks".

These words were stamped in the Genesis block of the Bitcoin blockchain.

While Nakamoto never clearly stated the meaning of the message, many have interpreted it as a reference to why Nakamoto developed Bitcoin: to cut out the banks and middlemen that he saw as corrupt and unreliable, electing to create a more people-driven currency.

It transpired the Bank of England provided emergency funding of £61.6bn to crisis hit banks at the height of the financial crisis.

On Tuesday night, the yield on any new long-term government borrowing had risen to 5% – the highest level since the global financial crisis of 2008. The rapid upward move in gilt yields had implications for mortgage rates, overdrafts, company loans and pension funds.

As a result, the Bank has responded with a temporary and targeted round of quantitative easing (QE) – the bond buying programme that it originally launched in early 2009.

It plans initially to spend £65bn – £5bn a day – buying UK bonds until mid October.

The Bank has not paid for the bonds in cash, it has created the money with a guarantee from the Treasury, which means that every pound is covered by the taxpayer.

It's been pointed out that this money printing has predominantly been used to bail out the pension funds of the Boomers (58 - 76).

It's worth while pointing out everything that's happening in the UK is largely without a mandate from the British people. A group of politicians ousted the Prime Minister with one of the largest electoral mandates in history (13,966,454 votes).

It became clear that many had an agenda to further their own career. The replacement PM Liz Truss was voted in by just 81,326 members of the Conservative party. Now she's taking the country down her own completely new experimental financial path which is never appeared in any conservative party manifesto... crashing the gilt market and pound as she goes.

Things got so bad that another unelected, unaccountable party... the Central Bank of England.. undemocratically prints £60+ billion out of thin air to predominantly bail out boomers (of which there are many among them)... adding to the taxpayer tab to be paid off by subsequent generations going through their own cost of living crisis.

In short... thank fuck for Satoshi and Crypto. It may not be perfect but at least today there are freely open, transparent, democratic and decentralised alternative financial systems we can participate in should we wish. That's fair and true democracy.

TDLR

In 2022 the Bank Of England has just repeated a similar styled money printing bailout that inspired the movement behind the worlds first crypto Bitcoin in 2008/9. Let's hope the actions of today's undemocratic financial and political elite, inspire a whole new generation to keep driving the decentralised financial revolution forward in the same way.

submitted by /u/jam-hay
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