Your bank balance isn’t in the bank, and other alchemy (opens in new tab)

<p>Patrick McKenzie (patio11) reads his classic Bits About Money essay on why your bank deposit is not what you think it is. He explains the capital stack that makes deposits appear riskless while funding genuinely risky businesses, and why the "no questions asked" property of money took the United States roughly a hundred years to engineer.</p><p><br></p><p>Patrick updates the essay with commentary on SVB's collapse, the Voyager collapse and emergency injunctions about the finer points of AC...