The $25 billion in touted deposit insurance is supposed to preserve and protect (granted not in their entirety) some $9,283 billion in total US deposits. A far bigger problem, however, is when one considers the "asset" side of the US banks' ledger: remember deposits are unsecured liabilities. And for US banks, sadly, over the counter derivatives represent the vast majority of "off the books" assets. According to the latest OCC quarterly report, the total derivative notional outstanding of the Top 25 holding companies is $297,514 billion, or nearly $300 trillion. In other words there are 32 times more notional derivatives than there are total deposits, while the ratio of gross derivatives to deposit insurance is a concerning 11,900-to-1.
And with that, we hand it back to the ABA to comfort all US depositors that Cyprus could never possibly happen in the US.
If you already live in a tent, you nothing to worry about troll,, Cyprus is like having a Bank run on Molokai,, The hype of the news worries me more, the News Media wants all the big Banks to fail, However if they do it will be their last story,, and as for you my friend, hold onto your tent, buy an assalt rifle, you will need it.