[edulix]

Or you could hold short-term t-bills for any extra money over the FDIC insurance limit. Then you are good unless the US Gov goes bankrupt, which is a non-zero risk but much lower and different.

[tome]

Yes, I don’t understand what systemic forces are making this not the standard practice.

[phone[phone]]

SVB and its depositors most likely felt that SVB was too big to fail and that the government would just bail them out