Question

How can the failure of banks be directly related to the failure of the Federal Reserve?

Answer 1

They provide the nation with a safe, flexible financial system. they Help regulate banking institutions and protecting the credit rights of consumers basically maintaining the stability of the financial system. When and if the bank fails, the FDIC must collect and sell the assets of the failed bank and settle its debts. reimbursing all of your money up to $250,000 in Each Bank.

If we was to experience a national bank failure. The current country will go into a depression. Think About the great depression of the United States back in early 1900s. It began as soon as the stock market crashed in October 1929, which sent Wall Street into a panic and wiped out millions of investors. All of the banks were rammed and everyone was withdrawing their deposits due to the panic. With the stock market crash and the panic of 1929 the federal reserved had no control over anything.

Since its 2019, and we live in a more violent century. I personally believe the riots of president trump compared to the up-rise that would become  wouldn't be comparable.

Conclusion:

The Federal Reserved Would Be Directly Be Related To The Failure Of The Banks Because They Control The Bank System By Maintaining The Stability Of The Financial System Or In This Case The Banks If It Fails. It Would Affect Everything They Stand For.