Banks Hold a Lever Over Stablecoin Adoption, BIS Economists Say
A Bank for International Settlements working paper found that stablecoin growth slows when U.S. banks raise deposit rates, with Circle’s USDC most sensitive.
AI summary
A Bank for International Settlements working paper concludes that stablecoin growth slows when U.S. banks raise deposit rates, with Circle's USDC showing the greatest sensitivity to those rate changes. The finding frames banks' deposit pricing as a competitive lever over stablecoin adoption rather than a direct threat to crypto prices. For traders, it is a structural research note on how rate cycles could affect stablecoin supply and liquidity, not an immediate catalyst for USDC or broader market positioning.
Narrative history
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53M AGOYou’re reading thisBanks Hold a Lever Over Stablecoin Adoption, BIS Economists SayDecrypt · Score 35
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17 OCT · 12:05Crypto Briefing · Score 25 · via BIS, paper
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17 OCT · 12:00CoinDesk · Score 25 · via BIS, paper
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13 OCT · 23:10CryptoSlate · Score 20 · via adoption BIS, BIS
