First published by Money Metals Exchange here: https://www.moneymetals.com/news/2023/04/12/more-bailouts-for-bankers-wont-fix-a-broken-financial-system-002721

The Federal Reserve Board reduced banking reserve requirements to zero in March 2020. So banks in the United States are technically not required to back customers' deposits with anything. Even as Chairman Jerome Powell had previously insisted that the Fed already had all the "tools" it would need to handle any crisis, the Fed created an extravagant new tool in response to the failures of Silvergate Bank, Silicon Valley Bank, and Signature Bank.