How do you "steal" money from a bank?

The most effective way is to add 0's to a database record.  No one loses any money, so it is easier to hide.

Depending on your access to the database (and resulting reports), an explanation for the source of money will have to be faked.  Faking incoming transfers might be as simple as creating a record in the incoming wire or ACH credit transactions.  The amount and frequency should not raise any red flags.

Auditors do not normally check deposits against the sourcing bank or entity.  For example, you might have a deposit appear to come from Paypal on an ACH credit.  It is highly doubtful the auditor would contact Paypal to verify the deposit.

This could be set up as an automated procedure to simulate an ongoing business of some kind.  Be sure to pay your taxes on the "profits".

From the bank's perspective, they are not losing any money and in fact, will see your bank account as beneficial to their "reserves".  Assuming you have thought through all relevant possible auditing checks, you could simply spend the account directly and not worry about "laundering" it.  Alternatively, you could transfer it slowly into gold or out of the country and retire.

A public specification to describe financial transactions goes a long way to solving this problem.

What if?

The Bank of Thailand stopped accepting digital baht as settlement internationally?

That could lead to an "external currency" and an "internal currency".  The neighboring countries might handle the "exchanges".

If prices are stable internally, how do you make sure the rice farmer receives the same price on exports?

How do you get employees to work hard for you?

Pay them as little as possible while promising a long term escape.

If you pay them too much, they will retire and stop working.
If you pay them to the point of comfortable, they won't work as hard.

(Note: the above is not my idea, it is how the world works today.)

Open letter to the board members of the Federal Reserve

Current policy is a step in the right direction but will lead to hyperinflation in the next few years.

Maturing bonds are apparently $3.5 billion this year.  Replacing them with created cash will place $3.5 billion in the hands of bond holders who will spend it.  That is inflation, but not a whole lot.

In a few years, maturing bonds will become much more significant.  With $18 trillion outstanding, when will the first $1 trillion maturing occur?  You have that data.

THE POINT:

You need an accounting rule or legislation that will stop the cash creation.  The Fed can borrow from another institution against its assets OR they can sell assets and purchase bonds.

So, when the Fed replaces the bonds that reach maturity they have 3 choices:
1. use the proceeds from the maturing bond
2. borrow against other assets
3. sell other assets for dollars

If you'd like more solutions, let me know.

Sincerely,
Andrew Bransford Brown

PS. the number of Wall Street firms with fees on top of fees and selling forward every penny on the anticipated transactions is incredible.  Get back to basics, toss out the middle man, and the Treasury and Federal Reserve would reap a windfall.

Ending quantitative easing

It appears that the new Fed policy is to end the purchase of new bonds. So, they are not printing money any more. As long as that policy holds tight. 

As the Treasury has a $1 trillion shortfall in revenue, they will be forced to sell new bonds to the general market.  Hopefully, the market will place pressure on Congress to balance their budget.

That might lead to a strong dollar.

As the Fed appears to be maintaining static balances of T-bonds, I hope they aren't creating cash to replace the bonds as they mature. If the Treasury pays the principal, the Fed can use the proceeds to replace it.