Stablecoins Causing Bank Deposit Flight Is 'Mathematically Not Possible' Says CEO

CoinDesk’s The Policy Protocol hosts Rebecca Rettig and Renato Mariotti open on the OCC finalizing its stablecoin rules and dig into the OKXICE filing that showed a growing pile of blue-chip objections to tokenized equities. They’re then joined by Zero Knowledge founder and CEO Austin Campbell, who breaks down JPMorgan’s JPMD deposit token landing on Ethereum, and argue that crypto becoming “plumbing” is a sign it won. Austin also delivers his most controversial take: it is mathematically impossible for stablecoins to cause bank deposit flight. Plus, Rebecca and Renato name a16z Crypto, newly renamed a16z Frontier by Chris Dixon, as their Person of the Week. - This episode is brought to you by Grayscale, the world's largest digital asset-focused investment platform. Grayscale's mission is to make digital asset investing simple and open to every investor. Learn more at grayscale.com. - Digital asset vaults are growing rapidly, but understanding the risks behind them requires more than on-chain data. S&P Global Ratings' Vault Risk Assessment (VRA) delivers independent, forward-looking insight into vault credit quality, governance, and risk management, helping bring institutional-grade risk transparency to digital asset markets. Learn more at https://www.spglobal.com/ratings/en/products/vault-risk-assessments. - Check out CoinDesk Research's report, commissioned by RealFi, on real-world yield in productive stablecoins, at ⁠https://www.coindesk.com/research/beyond-the-risk-free-rate-diversified-real-world-yield-in-productive-stablecoins⁠ - Chapters/Timecodes: 00:00 Welcome to The Policy Protocol 01:44 A Nonstop Stretch for Crypto Policy 02:23 OCC Finalizes Its Stablecoin Rules 05:29 The TSV Land Rush and Tokenized-Equity Objections 08:54 JPMorgan's JPMD Deposit Token on Ethereum 12:07 Did Anyone Win the Stablecoin Yield Fight? 13:28 Tokenized Deposits and SoFi's FDIC Play 15:45 Is Crypto Just Plumbing Now? 17:05 Hot Take: Stablecoins Can't Cause Deposit Flight 19:52 Person of the Week: a16z Crypto - #digitalfinance #finance #bitcoin Subscribe to CoinDesk on YouTube: https://www.youtube.com/user/CoinDesk?sub_confirmation=1 CoinDesk is the leading digital media, events and information services company for the crypto asset and blockchain technology community. Twitter: https://www.twitter.com/coindesk LinkedIn: https://www.linkedin.com/company/coindesk Instagram: https://www.instagram.com/coindesk Facebook: https://www.facebook.com/CoinDesk Newsletters: https://www.coindesk.com/newsletters CoinDesk Podcast Network: https://open.spotify.com/show/2jyIhkvAQhed8AWDZiPpSP Public Keys: https://open.spotify.com/show/1rqYzRV10nfKfoTpFXZhTE Markets Daily Crypto Roundup: https://open.spotify.com/show/7sDXM8BlxsUqzL2IqmLqwE The Policy Protocol: https://open.spotify.com/show/3Fh8ffulAWcCqMu0uVuwoj