The Bank was at first a strictly deposit bank with 100 percent backing. Because of the secretive nature of its administration, it was not generally known that individual depositors had been allowed to overdraw their accounts as early as 1657. In later years, the Bank also provided large loans to the Dutch East India Company and the Municipality of Amsterdam. By 1790 these loans became public and the premium on the bank money disappeared, by the end of that year the Bank virtually admitted insolvency by issuing a notice that silver would be sold to holders of bank money at a 10 percent discount. The City of Amsterdam took the Bank over, and eventually closed it for good in 1819."
So the full reserve bank eventually went insolvent... But we have to give it to them, it took more than 100 years...
of course you are smart enough to figure out that all those off the book loans turned the bank into a fractional reserve bank. which was the cause of it's downfall.
This is why transparency is important in any system. Without it rules can be circumvented. But the fed just seems to gain more secrecy through legislation every crisis.
