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Story perspectives

Modern Banking: Power Shift from Church to Central Banks

7/15/2025

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Story summary
  • The international banking system developed post-Peace of Westphalia in 1648, reducing the Church's influence.
  • Established in 1694, the Bank of England pioneered fractional reserve lending, influencing central banks worldwide.
  • Modern banks wield substantial political power, reminiscent of the Church's historical role.
  • The U.S. dollar continues as the global reserve currency, reflecting the supremacy of contemporary banking institutions.