6 sats \ 1 reply \ @Scroogey 27 Nov 2022 \ parent \ on: 21 Rules of a Bitcoin Maxi bitcoin
Like in the context of something like https://www.khanacademy.org/economics-finance-domain/ap-macroeconomics/ap-financial-sector/definition-measurement-and-functions-of-money-ap/v/money-supply-m0-m1-and-m2
If Bitcoin were to replace the Dollar, M0 would be limited to 21 million. But banks and the Fed would still be able to inflate M1 and do their usual operations, no?
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23 sats \ 0 replies \ @Brunswick 27 Nov 2022
No. M0 subtracted from M1 is an artifact of fiat. Its the M1 demand deposits of fiduciary media that allows M3 to grow beyond hard assets.
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