PANews reported on January 23 that, according to Cryptopolitan, the American Bankers Association has listed "preventing stablecoins from generating returns" as PANews reported on January 23 that, according to Cryptopolitan, the American Bankers Association has listed "preventing stablecoins from generating returns" as

The American Bankers Association has listed "preventing stablecoins from generating yields" as its top lobbying goal for 2026.

2026/01/23 20:28
1 min read

PANews reported on January 23 that, according to Cryptopolitan, the American Bankers Association has listed "preventing stablecoins from generating returns" as its top lobbying goal for 2026. The association believes that interest-bearing stablecoins will become a substitute for bank deposits, potentially leading to trillions of dollars flowing out of the traditional banking system, thereby weakening banks' lending capacity and jeopardizing their core role in the financial system.

In response, Circle CEO Jeremy Allaire refuted concerns at the Davos Forum, calling the idea that stablecoin yields would affect bank deposits "completely absurd," and pointing out that yields could enhance user stickiness and that stablecoins would become an essential payment system for AI agents conducting large-scale transactions in the future. Opponents, however, argue that this move aims to protect bank interests, restricts fintech innovation, and puts the US dollar at a disadvantage in competition with China's digital yuan.

Disclaimer: The articles reposted on this site are sourced from public platforms and are provided for informational purposes only. They do not necessarily reflect the views of MEXC. All rights remain with the original authors. If you believe any content infringes on third-party rights, please contact service@support.mexc.com for removal. MEXC makes no guarantees regarding the accuracy, completeness, or timeliness of the content and is not responsible for any actions taken based on the information provided. The content does not constitute financial, legal, or other professional advice, nor should it be considered a recommendation or endorsement by MEXC.

You May Also Like

Lyn Alden: The Fed is Printing Money, What Will Happen to BTC?

Lyn Alden: The Fed is Printing Money, What Will Happen to BTC?

The post Lyn Alden: The Fed is Printing Money, What Will Happen to BTC? appeared on BitcoinEthereumNews.com. Lyn Alden’s Fed Monetary Policy and BTC Prediction
Share
BitcoinEthereumNews2026/02/09 06:52
Goldman Sachs Warns $80 Billion in Forced Selling Could Still Hit U.S. Stocks

Goldman Sachs Warns $80 Billion in Forced Selling Could Still Hit U.S. Stocks

Goldman Sachs is warning that the recent sell-off in U.S. equities may not be finished, even after last week’s sharp rebound, as systematic trend-following funds
Share
Ethnews2026/02/09 07:34
Franklin Templeton CEO Dismisses 50bps Rate Cut Ahead FOMC

Franklin Templeton CEO Dismisses 50bps Rate Cut Ahead FOMC

The post Franklin Templeton CEO Dismisses 50bps Rate Cut Ahead FOMC appeared on BitcoinEthereumNews.com. Franklin Templeton CEO Jenny Johnson has weighed in on whether the Federal Reserve should make a 25 basis points (bps) Fed rate cut or 50 bps cut. This comes ahead of the Fed decision today at today’s FOMC meeting, with the market pricing in a 25 bps cut. Bitcoin and the broader crypto market are currently trading flat ahead of the rate cut decision. Franklin Templeton CEO Weighs In On Potential FOMC Decision In a CNBC interview, Jenny Johnson said that she expects the Fed to make a 25 bps cut today instead of a 50 bps cut. She acknowledged the jobs data, which suggested that the labor market is weakening. However, she noted that this data is backward-looking, indicating that it doesn’t show the current state of the economy. She alluded to the wage growth, which she remarked is an indication of a robust labor market. She added that retail sales are up and that consumers are still spending, despite inflation being sticky at 3%, which makes a case for why the FOMC should opt against a 50-basis-point Fed rate cut. In line with this, the Franklin Templeton CEO said that she would go with a 25 bps rate cut if she were Jerome Powell. She remarked that the Fed still has the October and December FOMC meetings to make further cuts if the incoming data warrants it. Johnson also asserted that the data show a robust economy. However, she noted that there can’t be an argument for no Fed rate cut since Powell already signaled at Jackson Hole that they were likely to lower interest rates at this meeting due to concerns over a weakening labor market. Notably, her comment comes as experts argue for both sides on why the Fed should make a 25 bps cut or…
Share
BitcoinEthereumNews2025/09/18 00:36