Standard Chartered: Stablecoins Pose a Real Threat to Bank Deposits

Odaily News Standard Chartered analysts stated in a report that stablecoins pose a real risk to bank deposits globally and in the United States. Geoff Kendrick, Global Head of Digital Assets Research at Standard Chartered, noted in the report that the delay of the U.S. CLARITY Act serves as a reminder of the risks stablecoins pose to banks. Geoff Kendrick estimates that U.S. bank deposits will decrease as the market capitalization of stablecoins grows, with the reduction roughly proportional to the weight of the stablecoin market cap. Among these, U.S. regional banks are expected to be the most affected, while investment banks will be the least impacted. The report indicates that only 0.02% and 14.5% of Tether's and Circle's reserves, respectively, are held as bank deposits, representing an extremely low redeposit ratio.