Hallelujah, parent's comment is a straw man. I've been vehement against taxpayer money being used to make depositors whole, but nobody is saying they shouldn't be paid out of the assets of the bank.

I'd also be in favor of the feds helping to orchestrate a bailout by getting purchased by another bank/banks, or doing whatever it takes to get depositors access to as much of their money as quickly as possible.

But all this does is incentivize "if you're going to blow up, make sure you threaten the whole economy so you can use hostage tactics to get a payout." The feds wouldn't be doing shit if this were some small bank with no contagion risk.

And the political cronyism of this, on both sides, is nauseating. There was a tweet thread by a startup founder from Ohio, basically making the argument "I'm a small business owner from middle America Ohio, not some fat cat Silicon Valley tech bro." To be clear, absolutely nothing against her for posting this (on the contrary, she actually sounded pretty amazing with how she founded her business), but it sucks that she has to play this "Hey, I'm in your tribe too, I'm not a member of that evil other tribe" in order to curry favor with the political class to get a bailout.