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The Stablecoin Breakout

May 30, 2025 | 11 minutes reading time | By Jeffrey Kutler and Michael Shashoua

What was once a small crypto-asset niche is taking on an air of inevitability. Major banks are weighing strategic options as regulatory frameworks take shape, and financial stability may face a test.

On February 25 at the Economic Club of Washington, D.C., in a public conversation with club chairman David Rubenstein, Bank of America CEO Brian Moynihan delved briefly into the subject of stablecoins. If legally permitted, he said, “We’ll go into that business,” presumably issuing a “Bank of America coin,” in practice “no different than a money market fund with check access, no different than a bank account, really.”

In retrospect, Moynihan’s seemingly offhand digression was more like a watershed, or part of one.

Momentum is evident in the growth of the market-leading Tether USDT – not available in the United States, though like most stablecoins denominated in dollars – and Circle USDC; pending U.S. legislation cheered on by the White House (a Trump family venture, World Liberty Financial, is touting its own USD1 stablecoin); and Bank of America and its top-tier peers exploring a joint offering similar to the Zelle person-to-person payment service.

Timothy Massad: Underline “stable.”

“Stablecoins are the most useful application of blockchain and digital asset technology to date,” Timothy Massad, director of the Digital Assets...

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Topics: Digital Assets

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The Stablecoin Breakout

May 30

What was once a small crypto-asset niche is taking on an air of inevit...

Digital Assets
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