That’s an inaccurate paraphrase.
It makes all the difference for the government to clearly indicate that they will intervene quickly and decisively to keep the system functioning rather than stand back and let depositors lose big sums, potentially triggering much wider fallout. By doing that they can minimise further costs/failures for everyone.
> If you hold cash in a bank and your balance exceeds the FDIC insurance limit, it's at some risk. This isn't new, yet seems to have come as a complete surprise to a whole bunch of people, many of whom really should have known better.
It’s just not a norm - something that people in startups or small businesses generally think about or talk about, as it’s antithetical to focusing all your efforts on building a product and pleasing customers.
I understand you’re saying it should be.
Ok, sure, maybe it should be. That’s a valid topic of discussion. It just raises a whole lot of new trade offs and costs, if suddenly every early stage startup founder now has to also be an expert in bank risk.