I think banks "create" (out of "no where" I mean) the money they loan. So they don't owe anyone.
But because much of the money they got from somewhere can be requested at will (people can still remove money from their accounts), it is still liquid and still counts as money. So money is "created" this way.
That is how they create money. They don't literally just create whatever they need, only central banks can do that.
I don't doubt that the financial effect is what they say it is, but that does not look like what I would call creating money.
> In the modern economy, most money takes the form of bank deposits. But how those bank deposits are created is often misunderstood: the principal way is through commercial banks making loans.
> Whenever a bank makes a loan, it simultaneously creates a matching deposit in the borrower’s bank account, thereby creating new money. The reality of how money is created today differs from the description found in some economics textbooks:
> • Rather than banks receiving deposits when households save and then lending them out, bank lending creates deposits. > • In normal times, the central bank does not fix the amount of money in circulation, nor is central bank money ‘multiplied up’ into more loans and deposits
That value that backs up that money will be created by you.
https://www.youtube.com/watch?v=2nBPN-MKefA
The first time I saw it I thought it was a luny conspiracy theory, but NO. It's all true.
This is not a surprise to anyone who understands how a modern monetary system works.
I guess this is why Bitcoin and its "there's a set amount of currency and we know exactly what it is" is so popular with people of a certain mindset; they expect that's how money works.