Brilliantly put Jared, thanks for posting.

I first heard of this around 2008, in the Paul Grignon video, “Money as Debt”.

I had to watch it about five times to get it to sink in, my mind was so repelled, I couldn’t believe such dishonesty was actual banking practice.

I am not so sure of the timescales, by Paul’s video the dishonest practice of issuing money on capital claimed rather than actually possessed is much older than the seventies, but the outcome of all is the same, there is massive debt as a result of the practice described.

But to truly fix it, I think we need to follow the connection all the way through to its conclusion; the Grand Energy Ponzi; that is the thing that needs fixed, the root source of all of the problems.

To do that, your excellent private island example simply extends to consider Earth with all humans on it as the island community, and the sun as the grand creditor.

We might think of the contract offered by the sun being something like “I will deposit on Earth, photons forever at a rate of x, by which Earth is enriched at a rate of y. All you need to do is ensure y is never reduced, only increased, to avoid yourself being burned by those photons deposited”

Notice this contract is not impossible, so it isn’t quite the same as the one of the island community, this one, actually in place between Earth, humanity, and the sun is perfectly possible for us to honor.

I have every confidence we will do it after money becomes dissociated with capital, and associated with the photons of the sun instead.

The ball game changes completely after that, the competition becomes who, what, and how to contribute most to improving y, the rate of enrichment of Earth, to receive the highest rewards.

We are seeing this manifest firstly as rampant inflation, with fiat money no longer having any relationship to gold, or any other capital, issue of it has to increase steadily, or maybe even abruptly when it becomes apparent that the value of issued money actually goes up in value, rather than down, the banks, and all currencies will realise that they have to issue more and more to compete, until the time arrives to declare money as no longer representing capital, but as representing energy instead.

In the very near future, we will be seeing apps that give every human a realtime display of their relative contribution to y, instead of what we used to monitor as our bank balances, to gauge how well we might be doing in life.