That article seems like an oversimplification. Isn't the bank is still on the hook for its liabilities? It might be playing a dangerous game, but it's betting

That article seems like an oversimplification. Isn't the bank is still on the hook for its liabilities? It might be playing a dangerous game, but it's betting against a bank run (which are rare) and on itself having enough liquid cash on hand to handle withdrawals during reasonable circumstances. We all know banks invest our cash (in loans and tons of other vehicles) in order to earn their profits (and our interest.)