Wiki page defines finance & insurance as a broad term that is used to describe "activities that deal with the management of money and include personal banking (savings, checking accounts, etc) credit cards, consumer loans, corporate finance, etc." In other words: banks. Banks are where you store your cash or credit & then they lend that cash or credit out as a loan at a higher interest rate. This practice is known as fractional-reserve banking.
So who regulates these banks? The answer, in most countries anyway, is the central bank. A central bank is an institution that has a monopoly on printing/creating new currency & usually functions as a regulator for the country's financial institutions.
When you go to your bank to take out a loan or store cash at the bank you're basically trading your hard-earned money for pieces of paper with dead white guys on them. This brings up an interesting point: we're living in America and "money" is not actually money. It's just pieces of paper that we've decided to trade as if it has value, and has been assigned value by law (US Code 31).
How & why was the central banking system started? To understand this question one must first understand what happened during the so-called "Industrial Revolution". During the industrial revolution, people stopped doing business as usual to start steamrolling capital FAST. These new fast-paced industrialized businesses needed financial institutions that would work faster than what was available at the time, so this is what lead to the birth of central banking.
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