The main way banks make money is by lending money, which also creates matching bank deposits. Yes. But this only works if the banking system, on average, hold

The main way banks make money is by lending money, which also creates matching bank deposits. Yes. But this only works if the banking system, on average, holds onto the deposits it creates. This way of doing things would break down if everybody withdrew their deposits into cash every time they got a loan and everybody only transacted in cash. The same thing would happen if borrowers immediately withdrew their deposits into CBCoin.