Bank Of America CEO Warns $6 Trillion Could Flee To Stablecoins—Here’s Why Banks Are Terrified
Posted On January 16, 2026
Bank of America (NYSE:BAC) CEO Brian Moynihan has warned that allowing interest-bearing stablecoins could pull up to $6 trillion in deposits out of banks.
Why Banks Are Fighting Stablecoin Yields
Moynihan said on the bank’s earnings call on Wednesday that stablecoins structured like money market funds would pull deposits out of the banking system, forcing banks to rely on expensive wholesale funding instead of cheap customer deposits.
The issue is simple: if stablecoins offer 4% yield while banks pay 0.1% on savings accounts, depositors will move their money on-chain.
Banks would lose their free funding source and either cut lending or borrow from the Fed at …
About The Author
