Why do banks even need deposits?
I heard a stat that the amount of leverage is 14:1 (thought it was 10% reserve so it should be 10:1, but whatever). So why do banks even need money in the first place? If they can create 10x more credit than money, why do they even need that little bit of money in the first place? Its not like its a secret that they create all of this leverage out of nothing, so they dont need to do it to disguise how they work. So why not just make a bunch of credit out of nothing?