31 lines
954 B
Markdown
31 lines
954 B
Markdown
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---
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entity_slug: bank_reserves
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entity_type: Element
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vsm_system: S3
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type_rationale: Bank reserves are a stock of gold and silver money that banks must
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maintain as a tangible asset, making them a persistent entity rather than a process
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or relationship.
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vsm_rationale: Bank reserves function as a resource allocation mechanism within the
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banking system's operational control, ensuring banks can meet redemption demands
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and maintain stability.
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classified_at: '2026-02-23T10:47:32.199713'
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---
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# Classification: Bank Reserves
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## Entity Type
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Element
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## VSM System
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S3
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## Type Rationale
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Bank reserves are a stock of gold and silver money that banks must maintain as a tangible asset, making them a persistent entity rather than a process or relationship.
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## VSM Rationale
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Bank reserves function as a resource allocation mechanism within the banking system's operational control, ensuring banks can meet redemption demands and maintain stability.
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