Americans have $6.8 trillion deposited in institutions.
$4.2 trillion is FDIC insured
And the FDIC only has $52 billion tucked away to back the entire system.
One more time, the FDIC only has 1% put away to back the entire thing. And Americans stupidly have $2.6 trillion sitting out there at naked risk.
(side note - just think how dumb you had to be to have more than the FDIC limits sitting in IndyMac. Amazing)
In the end, after the banks fail, and the tiny little FDIC kitty is swiftly blown away, the 'insured' deposits will still be backed up. But you-know-who will be called upon to cut the check.
You and me.
And once again, if this happens, Bennie and the Inkjets would just get those printing presses going.
And the US currency emergency would go into high-gear.