[RegulatorCountry]

The only way to stop this is 100% reserve requirement for all banks etc. No more credit out of thin air.

I've seen this posted several times, by different FReepers, and I'm curious ... just how much would you be willing to pay a bank, to keep all your money, and everyone else's money, in a vault? You do realize that such a bank could never make a loan, don't you? How do you suppose this bank would make any profit, in order to pay you interest?

[freeforall]

That is a market problem not a regulatory problem. How businesses make money is determined by the price system.
Banks would have to survive like any other business and charge for services.The banks would actually have $1 of cash for every dollar they owe to their customers: there would be no chance of a harmful run on the banks

[Realism]

How do you suppose this bank would make any profit, in order to pay you interest?

They take that cash and debt roll it up into multi-billoin packages, sell it 15 or 20 times, then call it a bond and trade it on the stock market until its no longer of any value. /s