Bitcoin News
By Bruce Buterin
1 / 15
The American Bankers Association criticizes the report released on April 8 by the Council of Economic Advisers, claiming it underestimates the threats posed by stablecoins to…
2 / 15
In its 21-page analysis, the CEA assesses the impact of a ban on paying interest on payment stablecoins, as proposed by the GENIUS Act of 2025.
3 / 15
Reactions from the American Bankers Association
4 / 15
The ABA, through its chief economist Sayee Srinivasan and VP Yikai Wang, argues that the study asks the wrong question.
5 / 15
This shift in deposits could lead to a significant contraction in bank lending, particularly at the local level.
6 / 15
While the CEA report highlights that stablecoin issuers reinvest in safe assets, keeping overall deposits stable, the ABA emphasizes local consequences.
7 / 15
The debate is set against the backdrop of the GENIUS Act, which prohibits stablecoin issuers from paying interest but still allows platforms like Coinbase to offer rewards.
8 / 15
The ABA stresses that without a plan to support local credit, the evolution of stablecoins could harm traditional banking intermediation, a concern shared by Congress regarding…
9 / 15
What does the ABA criticize in the CEA report?
10 / 15
The ABA criticizes the CEA report for underestimating the impact of stablecoins on community banks and for asking the "wrong question" by focusing on the ban rather than the…
11 / 15
What is the role of the GENIUS Act of 2025 in this debate?
12 / 15
The GENIUS Act of 2025 prohibits stablecoin issuers from paying interest but leaves room for rewards through third-party platforms, a question not fully evaluated by the CEA.
13 / 15
The debate around stablecoins intensifies as the market continues to grow. According to the International Monetary Fund, over 80% of stablecoin transactions occur abroad, raising…
14 / 15
Federal Reserve Chairman Jerome Powell recently expressed concerns about how quickly stablecoins could replace traditional bank deposits.
15 / 15
The issue of stablecoins is also crucial for the U.S. Treasury, which closely monitors legislative developments.
The Currency Analytics
Want the full story?