The Biden administration and his…regulators…are, indeed, bailing out all SVB depositors, including those with deposits larger than the FDIC’s insurance of deposits worth $250k or less. This is being done under the administration’s claimed “systemic risk exception” in order to bail out the bank’s uninsured deposits—which is to say the bank’s uninsured depositors.
That is a power that was used during the 2008 financial crisis. Measures such as this can be controversial, with some arguing that it creates what is known as a “moral hazard”—that by letting banks or their customers know the government will backstop them in a crisis, they will think less about risks.