Ordinary people have FDIC insurance up to 250k and can spread their money across multiple banks for more. So the people who would need to make use of this are

Ordinary people have FDIC insurance up to 250k and can spread their money across multiple banks for more. So the people who would need to make use of this are those with so much money that they cannot insure all of it across all the banks available. In other words, no, this does not effect "ordinary people" at all, it effects rich people.