How Safe Are Your Investments? After FTX, It’s Worth Checking


bernard

THEE Realist
The collapse of crypto exchange FTX raises a question for every saver and investor: What happens to your assets if the company that holds your bank, brokerage, 401(k) or crypto account goes under?

The answer varies depending on the type of account. Bank deposits have been backstopped by the Federal Deposit Insurance Corporation since the Great Depression. In the crypto world, there are no clear protections.

Bank Accounts​

Banks do fail, but deposits in checking and savings accounts are among the safest of all assets.

When a bank goes under and no other bank takes over the deposits, the FDIC covers up to $250,000 in checking and savings accounts, money-market deposit accounts and certificates of deposit. (FDIC insurance doesn’t cover the investment accounts many banks offer through brokerage units.)

 
Click here to visit HBCUSportsStore
Back
Top