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Americans see their savings vanish in Synapse fintech crisis

CNBC spoke to a dozen customers caught in the Synapse fintech predicament, people who are owed sums ranging from $7,000 to well over $200,000.

Unlike meme stocks or crypto bets, in which the user naturally assumes some risk, most customers viewed funds held in Federal Deposit Insurance Corp.-backed accounts as the safest place to keep their money. In September, the FDIC proposed a new rule that would force banks to keep detailed records for customers of fintech apps, improving the chances that they qualify for coverage in a future calamity and cutting the risk that funds would go missing. Jelena McWilliams, chairman of the Federal Deposit Insurance Corporation, testifies during a House Financial Services Committee hearing in Rayburn Building titled "Oversight of Prudential Regulators: Ensuring the Safety, Soundness and Accountability of Megabanks and Other Depository Institutions," on Thursday, May 16, 2019.

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