> greatly limit the risks that depository banks can take on
Are people going to be okay with getting no interest and instead paying large-ish fees every month to cover the cost of bank branches, ATMs, debit cards, websites, money transfers, checks, and so on?
If depository banks are going to be very risk adverse they won't be earning much on the use of those demand deposits. Those services have to be paid for somehow.
Anyway, if the answer is yes, I don't see what's stopping people from putting their money with neo-goldsmith banks right now.
Are people going to be okay with getting no interest and instead paying large-ish fees every month to cover the cost of bank branches, ATMs, debit cards, websites, money transfers, checks, and so on?
If depository banks are going to be very risk adverse they won't be earning much on the use of those demand deposits. Those services have to be paid for somehow.
Anyway, if the answer is yes, I don't see what's stopping people from putting their money with neo-goldsmith banks right now.