The incoming Trump administration is reportedly considering the elimination of the Federal Deposit Insurance Corporation (FDIC), which provides insurance for bank deposits up to $250,000. Critics, including former FDIC chair Sheila Bair, argue that abolishing the FDIC would undermine consumer confidence and stability in the banking system, recalling the crucial role it played during the 2008 financial crisis. Treasury Secretary Janet Yellen has warned against interfering with essential banking regulations, emphasizing the importance of maintaining appropriate oversight of banks' capital, liquidity, and risk management. Concerns have been raised that removing the FDIC could lead to increased bank runs and destabilization, particularly for small and regional banks. With approximately $18 trillion in deposits across U.S. banks, the potential impact of such a policy shift could be significant, as many depositors rely on FDIC insurance for their financial security.