It doesn't cost any more to store bits or paper in Europe now than it did when interest rates were positive. The "storage costs" metaphor as a justification for negative interest rates is a whopping falsehood.
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This is the better line from that Bloomberg piece: 'And since UBS doesn’t have unlimited capacity to pay you interest on your holdings, well, you’ve got to pay UBS for the privilege of holding your money there. Sorry about that. But then, what other choice do you have?'
It is becoming quite a bit less of a privilege and much more if a burden. There would be tons of choices if they weren't being regulated or propagandized away.
