Professor Jiang explains that the problem with the early banking system was the risk of bank runs if too many people demanded their gold back simultaneously.

Professor Jiang explains that historically, merchants who became wealthy started banks, trading in gold and issuing receipts for safekeeping, which facilitated trade.

Professor Jiang states that early banks primarily lent money to kings and noble people for wars, which carried risks like the king being killed or refusing to repay.

Professor Jiang asserts that central banking controls the world today.