analysis reveals that converting retail deposits into stablecoin issuers' deposits weakens a bank's liquidity coverage ratio … backing the stablecoins as central bank reserves or reinvest them in low-risk assets, making these funds a less effective … that when retail customers of bank A buy a stablecoin issued by a non-bank that keeps reserves at bank B, both banks could …

of Walrasian equilibrium. The spontaneous "panics" generated involve a collapse of bank credit, causing in turn a drop in … move towards deregulation of that industry are ominous developments"--Federal Reserve Bank of Minneapolis web site …