{"id":83865,"date":"2026-04-21T03:01:34","date_gmt":"2026-04-21T03:01:34","guid":{"rendered":"https:\/\/dogewisperer.com\/?p=83865"},"modified":"2026-04-21T03:01:34","modified_gmt":"2026-04-21T03:01:34","slug":"stablecoin-hype-overblown-moodys-says-banks-arent-in-danger","status":"publish","type":"post","link":"https:\/\/dogewisperer.com\/?p=83865","title":{"rendered":"Stablecoin Hype Overblown? Moody\u2019s Says Banks Aren\u2019t In Danger"},"content":{"rendered":"
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A bill meant to bring order to the US crypto market is stuck in Congress, caught between two powerful groups that cannot agree on one key question: should stablecoins be allowed to pay interest?<\/p>\n

Banks And Crypto In A Legislative Standoff<\/h2>\n

The Digital Asset Market Clarity Act of 2025 \u2014 known as the CLARITY Act<\/a> \u2014 was drafted to establish rules for how crypto assets are classified and overseen in the US. But the bill hit a wall after Coinbase and other crypto companies publicly opposed earlier versions of it.<\/p>\n

Among their objections: the bill would ban yield-bearing stablecoins<\/a>. Banks, for their part, have pushed hard to keep that ban in place.<\/p>\n

Senator Thom Tillis of North Carolina has been working on a revised draft aimed at satisfying both sides, but reports say it has already drawn pushback and has yet to be released publicly.<\/p>\n

The standoff reflects a deeper anxiety in the banking industry \u2014 one that a senior Moody\u2019s analyst says may be premature, at least for now.<\/p>\n

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\"\ud83c\udfe6\" Analyst from Moody\u2019s agency states that stablecoins do not pose a threat to banks in the near future. #stablecoin<\/a>#crypto<\/a> pic.twitter.com\/jP8aB5uN1r<\/a><\/p>\n

\u2014 CryptOpus (@ImCryptOpus) April 20, 2026<\/a><\/p>\n<\/blockquote>\n

Near-Term Risk Remains Low, Analyst Says<\/h2>\n

Abhi Srivastava, associate vice president at Moody\u2019s<\/a> Investors Service Digital Economy Group, said that the threat stablecoins pose to traditional banks is limited<\/a> at this point in the adoption cycle.<\/p>\n

The US already has payment systems that are fast, low-cost, and trusted, he said, which reduces the appeal of stablecoin-based alternatives for everyday transactions.<\/p>\n

According to Srivastava, the current legal prohibition on stablecoins paying yield is a key reason they are unlikely<\/a> to pull deposits away from banks at any meaningful scale in the near term.<\/p>\n

<\/p>\n

Still, stablecoin use is not standing still. Data shows the total market cap for stablecoins crossed $300 billion by the end of last year \u2014 a figure that reflects growing use in payments, cross-border commerce, and onchain finance.<\/p>\n

Tokenized real-world assets, which represent physical or traditional financial assets on a blockchain, are also expanding alongside them.<\/p>\n

\"\"<\/p>\n

A Longer-Term Pressure Building<\/p>\n

Srivastava acknowledged that the picture could shift over time. As both stablecoins and tokenized assets<\/a> grow in size and use, banks could begin to feel the pressure \u2014 through deposit outflows and reduced capacity to lend.<\/p>\n

That is not happening today, but it is the scenario the banking lobby appears to be preparing for.<\/p>\n

Some voices in the crypto industry are warning that failure to pass the CLARITY Act could leave the sector exposed to crackdowns from less-friendly regulators down the road.<\/p>\n

That adds urgency to negotiations that have so far produced little progress. Both sides say they want a deal.<\/p>\n

Getting there is another matter.<\/p>\n

Featured image from Pexels, chart from TradingView<\/em><\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

A bill meant to bring order to the US crypto market is stuck in Congress, caught between two powerful groups that cannot agree on one key question: should stablecoins be allowed to pay interest? Banks And Crypto In A Legislative Standoff The Digital Asset Market Clarity Act of 2025 \u2014 known as the CLARITY Act […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"iawp_total_views":0,"footnotes":""},"categories":[2],"tags":[3,4,5],"class_list":["post-83865","post","type-post","status-publish","format-standard","hentry","category-news","tag-crypto","tag-doge","tag-news"],"_links":{"self":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/83865","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=83865"}],"version-history":[{"count":0,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/83865\/revisions"}],"wp:attachment":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=83865"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=83865"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=83865"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}