Financial safety net refers to a series of systems and mechanisms established by the state to maintain financial stability, of which three pillars include deposit insurance, financial supervision and financial crisis emergency. Deposit insurance refers to the system established by the state to protect the rights and interests of bank depositors. When banks go bankrupt or fail to pay deposits, the state will compensate depositors through the deposit insurance fund. Financial supervision refers to the state's supervision of financial institutions and financial markets to ensure fairness, justice and stability of financial markets. Financial crisis emergency means that when the financial system is in crisis, the state takes a series of measures to prevent and resolve financial risks and maintain financial stability.
Financial safety net is an important system and mechanism to maintain financial stability and protect the rights and interests of financial market participants, which is of great significance to ensure the healthy development of financial markets and maintain social stability.