The result of this is going to be everyone putting their funds into "too-big-to-fail" banks and we'll see the largest consolidation of banks in recent history.

The result of this is going to be everyone putting their funds into "too-big-to-fail" banks and we'll see the largest consolidation of banks in recent history. Which means a few institutions will have all the negotiating power to screw over depositors as much as they'd like. This is all just a big self-inflicted wound, wealthy depositors are cutting off the arm to try and save the hand.