Never said profit doesn't exist.  Profit is just an increase in value.  You can create profit by adding value to something either by effort, time, resources or demand.

Lending money for money creates nothing of value.  Money is simply a medium of exchange.  Adding interest to money is a sure way for someone to get it all in the end, much like we'll have soon in the reality of this world.  Explain to me how can every country be in debt?  The only way for someone to get out of debt is to put someone else in even more debt.  The game is rigged and we are all losers when interest comes in play.  Interest is an insatiable monster that will eventually swallow everything, including the lender.

Lending money is also a great way to create slaves...Usury, was once punishable by death.  That's when they use to understand what it caused.  Now, most don't give a f*ck as long as they make something for nothing, much like the speculators.  Good luck with that.

The only way for someone to get out of debt is to put someone else in even more debt.

I don't have anything against bitcoins per se.  They can be, and probably will be, a form of money.  That doesn't mean that banks won't lend you money or that interest will go away or fractional reserves won't work.  These games will be our undoing and are separate problems we'll have to deal with.  Personally, I chose to remain debt free at all times, can't stand interest, or bankers for that matter, and I don't want to get caught in that evil downward spiral.  I don't owe anyone jack sh*t and love it that way.

Funkypala, welcome again.


There are ways to enforce contracts through private institutions. First, you have ostracism. If someone violates a contract he/she will find it hard that other people trust him/her and trade with him/her. So there is an incentive to respect contracts. Second, you have the legal system, the courts. This legal system can be a government monpolly or private. It would be a long to discuss both systems, but basically the bank can use the legal system to enforce the contract.

Someone mentioned fractional reserve banking... although it could exist with bitcoins, I don't see the same advantages.  While I need a bank to protect my $millions (I wish) and make transactions for me, I could do that myself with bitcoins.  I also don't need interest to maintain my wealth as bitcoins are inherently deflationary.  Actually my biggest concern with bitcoins is the incentive to hoard instead of spend or invest.  You might not see that as a problem but it hasn't ever been tried AFAIK so it's a leap of faith at least.

i see the utility in accepting 'promissory notes' and how that paper currency system has been transmuted into fiat.  i don't see why the end user would accept payment in place of bitcoin when they could just accept bitcoin, except for instant POS transactions where a provider would take a small fee.