Regulation· ★★★· neutral·

Brian Armstrong: Stablecoins Safer Than Bank Deposits

  • —Armstrong called fractional reserve banking a legacy practice that uses client deposits without consent
  • —The Fed has required no mandatory reserves from US banks since March 2020
  • —The GENIUS Act of July 2025 mandates full backing of stablecoins and bars lending of reserves
  • —Coinbase filed for an OCC trust charter; Circle, Ripple, Paxos and Fidelity filed similar requests
Why it matters: The debate over stablecoin safety versus bank deposits could accelerate capital flows into digital assets and shape future regulation.
#USDC
Source: Journal du Coin
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