Bank of America CEO Warns Stablecoins Threaten Trillions in Bank Deposits

The CEO of Bank of America, Brian Moynihan, has issued a stark warning about the potential impact of stablecoins on the traditional banking system. He stated that widespread adoption of these digital assets, which are pegged to stable assets like the US dollar, could lead to a massive outflow of deposits from banks, potentially amounting to trillions of dollars. This shift could fundamentally challenge the banks' primary role in holding customer deposits and providing credit. Moynihan's comments highlight the growing tension between the established financial sector and the rapidly evolving cryptocurrency and digital asset ecosystem, with stablecoins like USDT and USDC at the center of the debate.