Financial markets in the United States are the largest and most liquid in the world. The U.S. banking system supports the world's largest economy with the greatest diversity in banking institutions and concentration of private credit. Banks are highly regulated in most countries, banking system in the United States is regulated by both the federal and state governments.
The country’s five largest banks own 44% of the industry’s total assets. Total assets concentrated in the five largest banking institutions have steadily increased since 1990, reaching a peak in the third quarter of 2013. The top five banks in 1990 were predecessors to the top five institutions today. They have monopolized and saturated the market to such an extent they have arguably become "too big to fail."
The Federal Deposit Insurance Corporation (FDIC) is a United States government corporation operating as an independent agency and preserves and promotes public confidence in the U.S. financial system by insuring deposits in banks and thrift institutions for at least $250,000; by identifying, monitoring and addressing risks to the deposit Insurance funds; and by limiting the effect on the economy and the financial system when a bank or thrift institution fails.
FDIC deposit insurance covers deposit accounts, which, by the FDIC definition, include: demand deposits, savings accounts and money market deposit accounts, time deposits including certificates of deposit, outstanding cashier’s checks, interest checks, accounts denominated in foreign currencies.