A new monetary banking and financial system from the 17th century based on money creation: fractional-reserve banking

A new monetary banking and financial system from the 17th century: from money changers to central banks

In the Netherlands in 1609 the first “central bank” set up: The Amsterdam Exchange Bank. Holland was the center of the world with the golden as the world currency. Amsterdam was the capital of goldsmiths and money changers. The Amsterdam Exchange Bank was the ‘supervisor’ of the value and quality of the various gold and silver coins. Their main task was to ensure a stable currency and prevent counterfeit coins in the cash cycle. When customers value for coins inwisselden prove they received a premium of 5%. There was a lot of confidence in the bank and in the money, because citizens and the city of Amsterdam was a guarantee for savings deposits. Deposited funds could not be seized. Also, the bank is not a bank paper. For every amount paid was a deposit balance: a giro bank. Initially, it was a substitution bench and no large-scale lender. Profit arose from the exchange of precious metals. Worldwide, the guilder was a world currency similar to the dollar at the moment.

Between 1634 and 1637 the tulip mania broke out in the Netherlands (Utrecht). An unprecedented boom in tulip trade where it mainly about the speculation in price and options in tulips and the tulip itself not as a product. In 1637 the price rose to 10 times the annual salary of a skilled craftsman. Everyone became rich by rising prices. Then threw the first recorded speculative bubble. One was left with worthless paper.

In 1794 came out that the Dutch Wisselbank massive unsecured loans had been provided to the VOC. It was the beginning of the collapse of the bank. In 1820 the bank closed its doors for good. The Republic lost its economic and military dominance of the British dynasty (navy and colonies) and later by the financial and military victory of the British Empire by Napoleon (Waterloo) and the early industrialization and bank financing of the economy. King William I (Frederick) had since 1813 a nearly bankrupt republic (continental system Napoleon) conversion to a prosperous industrial Kingdom (English model). On November 30 he moved from London to Netherlands (NED) to modernize Netherlands (enter constitution in 1814, the States General, establishment Rijksmunt jobs and providing credit through the Dutch Central Bank). Geopolitics was Netherlands and the inclusion of the southern states (Belgium) a safety buffer for any new England against French aggression.


In 1644 the second global central bank was established, the Swedish Riksbank (state bank). Central banks were founded by wealthy entrepreneurs (provision of seed capital and shares). The monopoly of money creation came to rest with the private central bankers. It created money (loans issued) was covered by the taxpayer with national taxes. The returns were for the bankers, the risks were for citizens (taxpayers).

From 1689 ruled William III of Orange, the Dutch Republic, Ireland and England. In Scotland, he was known as William II. In 1694 William III founded the Bank of England and he assured the bankers his support. Actually, it was given a reciprocal deal with William III entitled to the English Crown (glorious revolution) in exchange for the money-creating law for a number of private bankers at the Bank of England (central bank). Makes monetary system was largely in the hands of a number of (mostly Jewish-German) private bankers. In particular, the Rothschild family (former Bauer family) received a huge strong position within the economic and financial system by lending money to the Royal Houses (Napoleontaanse war and all wars thereafter). Until now, the ruling elite consists of bankers, multinational companies and the royal and the Rothschilds in fact but also symbolically play an important role.

On March 25, 1814 King William I founded the Dutch Central Bank (since 1914 a central bank).


Netherlands was liberated by Napoleon (Wellington, William I and II) and the British, Anglo-Saxon financial scheme could be rolled out in the Netherlands and Belgium (rollout industrialization and the power of the new financial banking sector). Nathan Rothschild was one of the first Rothschild scions which greatly benefited from the UK financial dominance and the military victory of Wellington. To date, the Rothschilds play an important role in the world but the Dutch financial sector. But always in the background.

ABN AMRO (from 1999) and Rabobank (joint venture, 2008) David de Rothschild’s commissioner and has thus still an important position in the banking sector in the Netherlands. Of course you never hear about the mass media. Worldwide, the Rothschilds play in the background through funds, foundations and special positions (consultants, supervisory, acquisitions, privatizations) is still an important role in the banking world. King Willem Alexander still holds a position at the Dutch Central Bank (King William I was the founder of DNB). Currently, the shares are from 1948 from the Dutch Central Bank in government hands. Although there are too many places questioned the transfer of private owners to the public sector (the state). The Dutch bank may be nationalized, but the Supervisory Board is elected by still the same elite and its former shareholders. The power and control over money creation is in the hands of the same elite (Orange, van Vlissingen family, Frits Bolkestein / Shell, Ewald Kist / ING, GJ Kleiserlee / Philips etc.). It becomes clear that the Supervisory Board. DNB is in the hands of big business and the multinationals. Or a controlling institution in money (monetary system and money creation) is owned by the state or private owners makes this case so little difference. Multinationals, bankers and the Royal still largely determine the decisions about our money system through the RVC at DNB. Moreover, there is a large degree of financial illiteracy citizens. The question to a random passerby how our money system, how money is created and what money, will remain largely unanswered.



Historically, much of the Jewish community reliant on jobs including finance, banking, trade in diamonds, gold exchangers etc. The charging of interest was a long time prohibited within the Christian (Catholic) and Islamic teachings (still). Rome allowed the Jews a lot of things (guilds, civil service, military service). This allows the continued trading and usury (usury) on as a source of income. Jews within the teaching fewer problems fester (constantly growing at the expense of something else), because wealth will serve humankind by God. The New Testament describes all the expulsion of Jewish money changers (elite) in the temple of God through Jesus. The story symbolizes the conflict between different religious beliefs about money, greed and austerity. The crucifixion of Jesus by the Jews is often used to justify anti-Semitism good. If I have a very anti-Israel had wanted to write a piece, partly based on the Khazar Jewish history, partly by money creation and partly occult atrocities, in which the Khazar Jews and the Rothschild family as the ultimate evil mafia depicted there it looked like this have (linkje see below):


What we know for sure is that exist the Khazar Empire. That part of the Empire has been converted to Judaism, was at war with the Russian Empire, was defeated in Kiev and spread into ghettos in Europe. The Diaspora (dispersion of Jews in Europe and Asia later in the US) of the Jews caused a dispersal of the Jews throughout the world. The Jews often assimilated, because they remained faithful to their own traditions. The “indigenous” population accepted this “peculiar” behavior often does not. As a result, Jews were often set aside as a scapegoat. The pogroms therefore focus on these Jewish ghettos. Within the ghetto’s Jews were developing themselves in the often limited jobs in the ‘lugubrious / dubious “financial sector. Through money creation got some elitist Jews like Rothschild (Bauer) family enormous influence in the financial sector. Within these families and royal connections with the financial power was transformed into geopolitical power. Later also with a lot of influence in the media and many other areas. This influence could also use them to fund the State of Israel (Knesset) based on Zionism (Jewish longing for a house). Geopolitical interests played a major role, in particular, the discovery of oil in the Middle East. Religious interests (the promised land) may play a supporting role, but could well be used as a motif, like the victim after the Second World War.

This kind of links describe plots which are based on a part of the truth. Fiction and facts are connected to each other to a geopolitical vision. In addition to political and financial stakes, religion and belief a large role. It also leads to conspiracy theories, not all of a priori 100% true or false. The probability is in the middle and has to be actually investigated. Political, financial and religious interests play a major role.

Within the Christian and Islamic tradition, poverty is rather a virtue and wealth will be distributed through the church or mosque. These are culturally religious social attitudes meant that some Jewish families were able to amass enormous wealth in eg the financial sector. These families often were acting in secret, married with their own families and lived in Jewish ghettos. It remained within the Jewish families earned capital. This explanation is only an explanation why there is anti-Semitism. Anti-Semitism is actually a vague umbrella term. Currently you have many Jewish identities associated with the land, the people, secular and religious identities, orthodox, liberal Jews, Jewish history, Zionist Jews, Jewish mysticism, kabbalah, anti-Zionist Jews, Jews of Moroccan, Palestinian, Ethiopian origin , socialist Jews, Marxist Jews, communist Jews (kibbutz), capitalistic Jews, Jewish hawks, Jews with a different sound and many many other Jewish identities. Jewish identity is no longer only associated with religion or the yearning for a Jewish state or private Jewish house. Currently, you do see a lot of people with a Jewish identity who work in the financial sector and large Jewish enclaves in major financial cities such as New York. These wealthy Jewish community still has much influence in politics, media and the financial sector. Religion plays a marginal role.

After the founding of the State of Israel (1948) dominates a Zionist majority backed by the US State of Israel. That provides a lot of conflict in the surrounding area in which the majority is anti-Zionist. Nevertheless, this Jewish ultra wealthy families have had a major impact within the financial sector and the banking sector in particular. The combination with the capitalist (neo) liberal flow (after 1848) and the monarchy (before and after 1848) has provided elite clustering of capital and positions of power, in which the central private bank has been given a central role in the economy and society . The Rothschild hegemony, the Fed, the Wall Street bankers and Zionism symbolize this Jewish elite wealth.

Besides these riches many Jews lived in extreme poverty in ghettos and are often victims of discrimination, exploitation and segregation. Jews are often seen as scapegoats because certain Jews adhere to tradition and so ‘different’. Orthodox Jews often will put themselves outside the society and retire within the Jewish community. This presentation is not an explicitly anti-Semitism, but about the development of the financial sector and the emergence of the powerful position of banks within our societies.


In this presentation, we highlight the role of banks in society.

1). Banks are parasites on society through the system of money creation? If banks have to play a clear role in society?

2). How can the dominance of banks originated and how banks exert power over society

3). The petro dollar and US hegemony in our economic system.

4). The end of Bretton Woods. Emergence of China, end of the American hegemony on the world economy.

5). Collapse of the current monetary system. A system based on a debt economy and unlimited money creation.

6). Of maximizing profits and endless economic growth to more sustainable and resilient systems.










































































































5 gedachten over “A new monetary banking and financial system from the 17th century based on money creation: fractional-reserve banking”

  1. De essentie is heel goed verwoord. Af en toe wat speculatie over historische feiten. Maar grotendeels raakt het de kern van onze al maar groter wordende bubble economie, met de enkele superrijken aan de macht al sinds Willem III in de 17e eeuw.

    Het geeft wel een soort onvermijdelijke toekomst van totale wereldslavernij

  2. Nog niet tot in detail gelezen en video’s bekeken, maar dit is een prachtig stuk! Legt de pijnpunten van ons financiële systeem bloot. Het geloof in de vrije markt was in voor 2000 al verloren. Niet dat ik uitgesproken links ben, maar ik vind wel dat bepaalde basisvoorzieningen niet in private handen zouden moeten zijn/komen. Drinkwater bijvoorbeeld. Ook extreem ongelijke verdeling is in mijn ogen onrechtvaardig en zou bestreden moeten worden. Progressieve belasting (tot 99%) zou hierbij een hulpmiddel kunnen zijn. Zoals dit stuk (bijna boekwerk) aantoont, moet de financiële sector in dienst staan van de maatschappij en niet andersom.

    Erg interessant is ook het vraagstuk of menselijke arbeid op de huidige schaal nu wel houdbaar is met de huidige en toekomstige technologie. Steeds meer mensen staan ‘aan de kant’ en dit aantal zal alleen maar groeien. Alleen nog maar werk aan de absolute top en aan de voet.Of dit erg is, is maar de vraag. Zelfvoorzienendheid gaat een pré worden. Het energievraagstuk is eigenlijk geen vraagstuk; dat gaat zich vanzelf oplossen mede dankzij figuren als Elon Musk. Er is een natuurlijke bron die nog lange niet is uitgeput; de zon. Zowel direkt als indirect (getijden, wind etc). Maar een grotere uitdaging zit er in de verdeling van tastbare bronnen zoals bijvoorbeeld voedsel en delfstoffen.

    In de jaren zestig werd een toekomst geschetst waar machines het werk zouden doen en de mensen veel meer vrijheid zouden krijgen. Nu, een halve eeuw later is de 40 urige werkweek nog steeds de standaard en is de rijkdom oneerlijk verdeeld met een kleine groep superrijken en een uitgeklede (zogenaamde) middenklasse waarvan 1 op 6 moeite heeft om de eindjes aan elkaar te knopen. Nu hebben we het in Nederland nog erg goed (de meeste Nederlanders beseffen niet eens hoe goed we het hier hebben) en zijn we een erg rijk land. Maar de scheuren beginnen nu echt wel te ontstaan.

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