The FDIC was created exactly for this kind of crisis. Here's the history

Yes that's right if there is no crisis how FDIC will prove that FDIC is necessary same as if there is no crime no need police force That's why police keep crime alive so society will realize we need them.

Well article's 1/2 truth is a start.
USA was on Gold standard at time of inception of FDIC so there was no Central Bank created elastic Fiat currency at that time.
Banks were integral part of economy.
The problem in today's world is that CB's now are legally allowed to print Fiat.
As consequence they act now as Central Planners for the general debt based economy. Expanding or contracting credit via interest rates determined by the politburo at FOMC.

Currently after having intervened extensively in the real economy, for literally decades no one including them has any idea what anything is worth. Other then what some lender will lend against an asset as collateral.

Fed is now backing too big to fail systemic banks. Thus when a smaller bank has even small deposit problems, deposits get pulled and flood either directly into Treasuries or into a too big to fail systemic bank. Thus creating Bank runs upon any bank not in the Fed Central committee safety net.

Sit back and watch the heads roll as there are going to be political consequences as the economy slows or outright fails. Party in power going to need a fall guy when things go South. It has already started as Sen. Warren has gone after J. Powell to recuse himself from any investigation of the recent bank failures of the friends of the current political party in power.

Police keep crime alive so they have job security? That's ridiculous. I'm sorry friend you are drinking somebody's kool-aid.