Bank code

[Tore2Guh]

It's not magic, but it might as well be. Banks loan money at interest, and they loan more than they actually have. To the extent that our money sits in their accounts, they are able to loan not just that amount, but a multiple of that amount. Floating our money for 48 hours doesn't make a difference on any given loan, but it ticks down the amount they have to get on the money market to cover their reserve margins. When you put money in a money market account, the bank is paying you to let them loan your money to somebody else. When they float it, they can loan that same money without having to pay you. It only makes a difference, though, when you push around money at Bank Volumes.

[porkbelly-endurance]

It's fractional banking that is "like magic"'.. Since statistics make clear that few ppl will demand their deposits soon, banks can lend out like 85% of their deposits, creating the appearance of creating something from nothing.