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by fuoqi 1119 days ago
The treasure would've sold them regardless of your investment into a MMF, just for a slightly higher price. So counterintuitively enough, by investing into a MMF your actually reduce amount of deposits lost by banks.
1 comments

A bank buying investments assets doesnt change the reported deposits. It isn't the net sum of (customer account balance - investments the bank makes/purchases). Deposits are just the first.