Seigniorage

the income of whoever issues money: it collects interest on the reserves and pays the holders of its money nothing

In more detail

The income of whoever issues money: they receive interest on the reserves they have collected and pay nothing on their own obligations.

The concept is old: this is how mints and the first issuing banks earned their money.

Covered in the primer of chapter 9.

In the academy “Seigniorage” is not a definition but an operation: you post it yourself and watch what it does to the balance sheet.

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