[kelnos]

> Most startups only have one bank.

There's the problem: startups are doing an inadequate job of managing the risk around their treasury operations. That sucks, but that's on them.

I as a taxpayer do not care to bail out -- yes, that is what that is -- these startups, when they could have done a better job at risk management. I know some smaller startups that do have their cash at multiple banks (SVB one of them). While this is still a headache for them to deal with, it's not an existential threat. Perhaps more startups should be like that.

If you take a risk, you have to be prepared to accept the consequences of what might happen.

> Startups should live or die because they create good products and solve real problems in real markets, not because they made an arbitrary choice like which bank they started using.

False. Companies live or die because of every business-related decision they make. Choosing a particular bank, and choosing not to diversify where they keep their cash, is one of those decisions.