Yesterday (11th) evening, @WatcherGuru posted that Bank of America (BofA) CEO Brian Moynihan stated that the bank is actively developing its own stablecoin.
Notably, Tether CEO Paolo Ardoino subsequently reposted this news, attaching a classic game "King of Fighters" image with the caption "Select your player".
Since the Bank of America's stablecoin would likely have stricter regulatory restrictions, and institutions might pressure early projects like USDT through commercial competition, Ardoino's statement seems to imply that Tether and bank-issued stablecoins will become two competing forces in the world, with an underlying tone of confrontation.
Bank of America Had Previously Announced Stablecoin Plans
Actually, as early as February this year, according to Fortune's report, BofA CEO Brian Moynihan explicitly stated in an interview that the US financial services industry is about to enter the cryptocurrency economic field, and that "stablecoins will be a crucial component".
He further mentioned that under the Trump administration, US legislators are actively formulating regulatory frameworks for stablecoins, such as the GENIUS Act and STABLE Act, requiring stablecoin issuers to comply with anti-money laundering and reserve asset audit regulations. Once these regulations are officially implemented, US banks will plan to launch stablecoins pegged to user dollar deposits. Brian Moynihan emphasized:
If legislative work is successful, we will officially enter this industry and launch a BofA stablecoin linked to dollar deposit accounts. This will be an interesting development.
Trillions of Dollars in Stablecoins to Enter the Market?
As the second-largest commercial bank in the United States, according to 2023 statistical data, Bank of America's market share in US deposits is close to 11%, second only to JPMorgan Chase. The total deposit scale of US commercial banks is approximately $17.83 trillion, with Bank of America's total deposits estimated to exceed $1.9 trillion, covering funds from individual customers, small and medium-sized enterprises, and institutional clients.
If a portion of these deposits is converted into on-chain stablecoins, even if only 1% of assets enter the cryptocurrency market, it would mean hundreds of billions of dollars in new capital inflow. This liquidity could significantly boost the prices of cryptocurrencies like Bitcoin, injecting strong momentum into the market.
