FDIC only insures accounts to $250K. But I predict the biden regime will bail out SVB depositors for full value

I love to try to predict future events.  So here goes:  The FDIC insures deposits in federally-chartered banks up to $250,000 per account.  That's been law for at least a decade.

Now: The faaaabulous, hip, Silicon Valley Bank--"the" bank for founders of the faaabulous startup companies that turn founders into multimillionaires in a year--was the bank of all the "cool kidz" in faaaabulously-wealthy Silicon Valley.  It was normal for these folks to park a few million in their bank while waiting for the Next Big Startup investment.

So when the bank collapsed, LOTS of people had balances WAY over the insured $250,000 figure.  As in, tens of millions of dollars.

And already we're seeing LOTS of "elite" investors and analysts whining that "the federal government" --a.k.a. taxpayers--simply MUST ensure that those account holders be reimbursed for the full amount they'd foolishly deposited, courtesy of taxpayers.  The number of supposedly-savvy financial whiz-guys who are bleating "The depositors did nothing wrong, so they must be protected!" is astonishing. 

And it's vital to watch HOW the pro-reimburse folks word their demands: They cunningly claim they are NOT in favor of a "bailout:"  They say they're okay with stockholders losing everything, and vendors not getting paid, cuz...ain't them.  What these pious bullshit artists bleat is that they really care about the naive, unsophisticated "little people" who had ten million on deposit, but were so naive that they didn't know that the FDIC only insured deposits up to $250,000.

Every bank you've ever been in has the FDIC insured limit posted in big letters all over the place.  But these po' "little investors"--folks running high-tech startup companies, handling millions of dollars--didn't know about the limit, or didn't understand it, or couldn't read English or some similar bullshit.

What horseshit.  Everyone over the age of 20 knows the FDIC limit.  The startup masters and their venture-capital advisors didn't worry about their cool bank failing, cuz banks don't fail, right?  Well, they didn't worry until they realized the bank was hours away from failing..

Of course there is absolutely NO law or constitutional authority that would permit the government to reimburse all depositors the full amount they had on deposit.  NO authority.  None.

But despite this lack of authority, I predict that the biden regime will use federal money (i.e. taxpayer funds) to do exactly that.

What will be amusing is HOW the biden regime will arrange this bailout for its friends and donors from Silicon Valley.  The regime may try to simply use an "Executive Order" or executive memo to Yellen.  But if there's too much outrage they might seek an "emergency relief bill" from congress.  That will pass with no GOP votes in the senate and just four in the House (since the GOP only has that margin once Santos is taken out).

A million bucks each to Schumer, McConnell and McCarthy, and five million to biden, and the regime can get any law it wants passed.

What will be even more amusing will be the total smokescreen of fancy theorizing used to justify this illegal bailout to voters.  "We HAD to do this to restore faith in the banking system," they'll bleat.

Horseshit.  With vanishingly few exceptions the people screaming that the biden regime MUST make depositors whole are the folks who had a million or two in SVB and are afraid they'll lose 20 percent of their money.  That would include billionaire Mark Cuban, owner of the Dallas Mavericks, and billionaire Bill Ackman.  The whine about "The government must act to restore faith in the banking system" is just a cover. 

[Update:  After writing this I find that "The Street" claims Cuban had $8-10 million in SVB.] 

Will a few more banks--mismanaged ones--fail?  Sure.  If you get into the details you'll find this particular bank was woefully mismanaged: they were far too busy "virtue signaling" about how faaabulously LGBTQRS-friendly and DIE-verse they were.  Too concerned about winning the wokie olympics instead of tending to business.  They needed to fail, and they did.

And I see Yellen, who seems at first glance to be saying "no bailout" is actually saying "BUT we are concerned about depositors and...on trying to meed their needs."

"Asked whether the government might bail out banks as it did during the 2008 crisis, Yellen says,

We’re not going to do that again.” BUT then adds, “We are concerned about depositors and are focused on trying to meet their needs.”

Other nameless "senior Treasury officials" have repeatedly said "Depositors will be made whole."  They follow with "No taxpayer funds will be used."  You can't have it both ways, without doing some fanciful re-definitions of words, but they're already setting it up.

And billionaires Mark Cuban and Bill Ackman have both pushed for bailouts.  My guess is that each had a few million in SVB.  Also that totally scummy, dirty, crooked senator from Virginia, Mark Warner, is pushing the gruberment to make good all depositor funds.  

I tell ya, the fix is already in.  Too many wealthy people stand to lose money unless they can get the biden regime to use taxpayer dollars to cover the losses of foolish depositors who exceeded the FDIC's $250,000 insured limit.

Check back in a year and let's see if I'm right.