The Entire History Of Banks in 17 Minutes

Your money is not in the bank. It has not been in the bank for nine hundred years. This is the entire history of banking - from the warrior monks who ran Europe's first bank with a sword in one hand and a ledger in the other, to the day a bank died at a million dollars a second. Along the way: where the word "bankrupt" actually comes from, how banks create money out of a promise, and why every bank run in history breaks the same way. CHAPTERS 00:00 Three Bank Runs, Three Centuries 01:15 The Warrior Monks Who Ran Europe's Bank 03:30 Paper for Gold 04:40 The Worst Customer in Banking History 06:00 Florence, and the Broken Bench 08:00 How Banks Create Money 10:30 America in the 1920s 12:30 The Runs 13:40 Roosevelt Closes Every Bank in America 15:00 Too Big, Too Fast 17:00 A Bank Dies in a Day 18:45 Your Money Is a Promise A NOTE ON ACCURACY A few things here are more careful than the usual retelling. The Templars really were bankers, but their fall in 1307 was about a king who owed them money, not a mystery. "Bankrupt" comes from banca rotta - a broken bench - which is what happened to a moneychanger in a Florentine market square who could not pay. And deposit insurance did not end bank runs; it made them rare, which is not the same claim. Where a number is disputed we use the lower, better-sourced version. If we got something wrong, tell us in the comments and we will pin the correction. This is history, not financial advice. MUSIC Music from Pixabay. #history #banking #economics