Banks Can Compete With Stablecoins by Paying Savers More
Photo: Coindoo
Key Takeaways Higher deposit rates predicted slower stablecoin growth. Banks reprice faster above 3% policy rates. DeFi yields didn’t shield stablecoins. Who may pay stablecoin holders is unsettled. BIS Working Paper 1382 , published on October 13, is by Rashad Ahmed of the Andersen Institute for Finance and Economics and Iñaki Aldasoro of the BIS, and it says its views aren’t the BIS’s. It uses weekly US data from January 2019 to June 2025, a stretch in which stablecoin market capitalisation grew from under $5 billion to more than $220 billion.
Source: Coindoo
