I am having fun and games trying to reply to your comment heres my 3rd attempt I hope they do not turn into the preverbial no9 bus and all turn up at once.
North Dakota's system has been given very good coverage by Ellen Brown a writer and critic of the current private fractional reserve debt money system.
The ownership of the bank and its profit belongs to the State and therefore its tax payers and the issue of the money is on a sustainable basis the current system issuing debt without interest ensures the unsustainable growth model which is a bad thing.
Other shortcomings are manifold and are well known see Eddison and Henry ford and their famous Muscle Shoals speeches.
Lots of this information I have found very well covered here at this web site.
Another very full and helpful e book is available free here.
Finally I posted this in another economics discussion in Linked in the other day, I think the regional banking odel and my suggestion regarding llyods and RBS a regionalisation and governemnt credit based rather than private debt money without interest sysstem are perfectly workable and no more complicated than the system we presently endure and somewhat fairer and cheaper to society at large.
The system is far from safe and inherently dishonest.
Until there is a return to Honest Money, which doesn't mean the gold standard
but does mean strict reserve ratios and executive and shareholder accountability for losses, we will continue in the present mad hatters tea party masquerading as an economy.
The agenda of dishonesty and lies is not limited to Government but is also hugely apparent in Corporate attitudes particularly in but not limited too the Large banking conglomerates. Globalisation is a massive cult idea that has gone beyond what could be considered an efficient and sustainable use of resources. The globalisation of Banking particularly money markets and what used to be called Hot money is not serving a useful purpose. The distinction between Main Street and Wall street has never been more stark. The skewing of the relative importance of the two has reached a level of obscenity of nauseous proportions.
This is a link to an Australian Blog that demonstrates an Alternative analysis of the usefulness and safeness of Current levels of Bank Profitability, he argues that they are abusing their role in the creation of money supply through debt to generate inappropriate levels of Super Profits this is both unfair undemocratic and damaging to main street.