[mattnewton]

Might be an American thing, we only have FDIC insurance up to a certain limit and the the difference of what happens in a bankruptcy is mechanically very different between a broker and a bank. Historically this has also been different for the stakeholders too, which is why people were not certain the number would actually result in them being able to withdraw funds from Silicon Valley Bank. Though recently they’ve de-facto increased the FDIC insurance limit by making sure whatever bank bought the distressed bank would accept the liability for the deposits over that.

[post-it]

I think it is an American vs Canadian thing. The list of ten largest banks in North America is nearly evenly split between American and Canadian banks[0], so the five main Canadian banks are 10x as large as their American counterparts, proportional to the population.

The only conceivable scenario where a major Canadian bank fails and any depositors are not made whole is one where the government has lost the ability to maintain the currency and the Canadian dollar is worthless anyway.

[0] https://en.wikipedia.org/wiki/List_of_largest_banks_in_North...