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Pretty much nobody has enough cash held in a bank account for this to be a concern. People were worried about SVB because it was so overrepresented with accounts of more than the insured limit because it was used by cash-rich technology companies. A normal person, even if they’re rich, probably has most of their net worth in assets (real estate, investments) and is not holding cash.

Just don’t exceed the insured amount in a single bank, and if you do need to have more than $250k in cash… either open a second account at a different bank or donate it.



Why should someone donate their savings?

Putting money in the stock market is not the answer for everyone and their savings.


Banks are slow moving institutions. I think most have not yet come to grips with the idea of a bunch of 20-somethings getting handed millions of $ for a nice plan but with $0 revenue. OTOH, SVB was supposed to be specialized in such cases.




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