Banking Abridged

     Though now Italy is remembered for its pizza, giving us the Godfather, and making Germany lose World War 2 when being on the same side they were, in the 11th century its purpose was much much bigger than that. At that time Italy had left the feudalistic system meaning that the original organization of king and queens, knights and serfs, barons and peasants, they had left all of that. They changed their scheme into a country relying on commerce, filled with merchants. People from all around the world would gather there just to trade, but the problem was that there were so many different currencies going around and there was no way to efficiently trade between them. Though many people complain how complex and confusing banks are, a long time ago, in Pisa, it was made to make life simpler.
     Spreading through Italy and even the world though more slowly, banks start to arose giving out credit to all different kinds of people to businessman, kings, and peasants. But through the centuries the problems and needs of individuals shifted, leaving us with the banking system that we are using today. People store their money in banks for a small interest and the bank loans it out for a much higher interest. Though they are much hated they are necessary in the economy because it gives resources to people to help them get things like houses, cars, any other big thing they want. They take idle funds and invest it back into our community to make them beneficial to our society.
     But one of the reasons that banks are being turned down and less and less used right now is that they have changed their endgame in trying to aide people in the long term to trying to get more money in the short term. This along with the banking crisis of 2008 which proved the harm of being too lenient with the loans have made banks and caused themselves to pursue incomprehensibly complex endeavors and did their own trading to make fast money. This was essentially gambling and in turn it hurt whole economies and societies.
     In the modern day, due to the whole history with traditional banks people are turning to different types of banks, banks for governments, companies and other big entities, or crowd funding, which basically hold operatives themselves meaning they create platforms to be used with their own company for transaction. A fast growing brand of bank that is also the most community positive is called credit unions which constitutes a community of people who pool in their money in order to provide financial products to each other. The benefit and the reason that it is being widely used is because it helps the community grow and it works for the benefit of people not of the entity itself.
     Though you might hate all banks and hate bankers with a passion, it is a neccessary cornerstone in the world we live in. How it might look in another 100 years? That's another question for another day.