[smcnc]

I’m personally fine with US gov backstopping depositors (but leaving equity unbacked) for the specific case of SVB, but the ultimate question remains: if the US government insures unsecured deposits over $250k (even if no practical risk with long term assets on balance sheet as collateral), doesn’t this in effect create a precedent of no upper limit to FDIC insurance moving forward? So now taxpayers are on the hook for all bank deposits (thus, creating potential for more reckless behavior by regional bank CEO/CFO/CIOs). Isn’t that somewhat dangerous?