Day 346 of 365

December 12

📈
Economics

The History of Banking

Banking evolved from ancient money-changing and lending. Italian bankers invented double-entry bookkeeping. Central banks emerged to stabilize currencies. Modern banking involves fractional reserve lending, where banks create money by lending more than they hold.

💡 Did you know?

The word 'bank' comes from the Italian 'banca,' meaning bench - where medieval bankers did business!

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