Can deposit rates slow stablecoin growth?
A Bank for International Settlements (BIS) study estimates that a one-basis-point increase in U.S. bank deposit rates is associated with about a 3-percentage-point reduction in stablecoin growth over ten weeks, from an average of 15% to nearly 12%. The analysis uses weekly U.S. data from 2019 to 2025 and suggests that bank deposits and stablecoins can be partial substitutes for some holders of funds. This gives bank deposit pricing a concrete role in competition for liquid savings, although the statistical estimate does not mean every rate increase will mechanically produce the same effect.
A Bank for International Settlements (BIS) study estimates that a one-basis-point increase in U.S. bank deposit rates is associated with about a 3-percentage-point reduction in stablecoin growth over ten weeks, from an average of 15% to nearly 12%. The analysis uses weekly U.S. data from 2019 to 2025 and suggests that bank deposits and stablecoins can be partial substitutes for some holders of funds. This gives bank deposit pricing a concrete role in competition for liquid savings, although the statistical estimate does not mean every rate increase will mechanically produce the same effect.