Stablecoins Affecting The US Banking System “Is A Myth,” Coinbase Claims
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Coinbase has rejected claims that stablecoins drain U.S. bank deposits. Here’s what Coinbase’s Faryar Shirzad had to say. Coinbase is pushing back against long-standing claims that stablecoins weaken U.S. bank deposits. The company insists that the idea of large-scale deposit flight into digital tokens is a myth. Instead, it says stablecoins strengthen the U.S. […]
Key Highlights Coinbase CPO Faryar Shirzad pushed back against the American Bankers Association’s concerns over stablecoin rewards under the CLARITY Act. Shirzad said community bank deposits grew 26%, or about $482 billion, between June 2019 and March 2026 despite the expansion of stablecoins and related reward programs. He cited studies…
Coinbase begins an internal pilot of Flipcash USDF stablecoin. The use of custom tokens is becoming a reality with global stablecoin trading volumes reaching 33 trillion in 2025. Coinbase has enabled internal testing of USDF on its platform. This is another step towards its custom-stablecoin program. Coinbase Markets on X…
Key Highlights Coinbase may pull support for the CLARITY Act if stablecoin reward limits are added, Bloomberg reported. Banking groups warn stablecoin rewards could drain trillions from the traditional banking system. The Senate Banking Committee will debate the issue this week, risking delays to crypto regulation. Coinbase, the largest crypto…