US banks must improve interest rates to compete with stablecoins: insights from Bitwise’s CIO

Matthew Hougan, CIO of Bitwise, argues that US banks must enhance interest rates on deposits to counter the rising threat of stablecoins, which attract customers with higher yields.

Stablecoins are significantly outpacing traditional savings accounts, with some offering rates up to 5%, while banks worry about potential withdrawals as customers seek better returns.