Deposit insurance coverage expanded over time from a temporary small-deposit measure to effectively blanket protection—statutory limits rose to $100,000 (1980) then $250,000, but in practice ~99.7% of all deposits ended up insured, and innovations like CDARS let wealthy depositors swap a $50 million deposit across ~200 banks to insure the entire amount, completing the destruction of risk-based depositor discipline.
factualpending
Speaker
Charles CalomirisEvidence Quote
“we've created a swapping device called seed ARS that CD ARS that allows people to effectively have all of their money insured”
Created: 6/15/2026, 9:20:15 AM
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