Bank of America's chief executive flagged a significant concern about interest-bearing stablecoins—if these cryptocurrencies gain traction and offer yield, the U.S. banking system could face a major outflow. We're talking roughly $6 trillion potentially shifting from traditional deposit bases to digital assets like USDC, USDT, and RLUSD.

Here's why that matters: banks depend on deposits to fund lending operations. Once those reserves thin out, lenders become more cautious. Loan approvals tighten, interest rates climb. Your mortgage gets pricier. Business loans become harder to secure.

It's a genuine structural tension between traditional finance and crypto—one that regulators will need to navigate carefully as stablecoins mature and compete more directly with bank deposits.