Bank of America, who historically has taken a rear seat in the cryptographic industry, is prepared to launch its own stable backed by dollar if US legislators approve the legislation that allows it to do so, said its CEO on Tuesday.
“If they do that legal, we will enter that business,” Bank of America CEO, Brian Moynihan, said Tuesday, in an interview with David Rubenstein at the Washington Economic Club, DC, Tuesday.
Moynihan said that he believes that there will certainly be a stablecoin backed by US dollars, arguing that, since these digital assets work, as are the funds of the money market or bank accounts. This depends on Congress approved legislation; The legislators and the cryptographic of the White House and the AI Czar David Sacks have suggested that the legislation can move within the first 100 days of President Donald Trump.
“It is quite clear that there will be a stablecoin, which will be completely supported by dollar, […] Therefore, it will have a Bank of America currency and a US dollar deposit and we can move them from one place to another because now it has not been legal for us, but it is like another foreign currency. “
Compared to companies such as JP Morgan and Citigroup, Bank of America has been cautious in its cryptographic participation. But changing regulations can force your hand.
The Trump administration has made it clear that it will support any effort in the cryptographic space in part by providing clearer regulatory guidelines, which probably increases competition between Wall Street banks in the sector. Charles Schwab, another bank that had previously been delayed, recently hired a digital asset chief while exploring opportunities in space.
The stablecoin economy has received the support of Democrats and Republicans, which makes the establishment of laws for this type of digital assets simpler than for other areas of cryptography. To move forward, a group of legislators earlier this month promised that Congress would approve legislation on Stablecoins within the first 100 days that Trump was in office.
While the Democrats have expressed concern about the use of stables for illegal activities, Republicans have a total control of the congress, which makes it likely to approve a friendly approach to digital asset, although any draft final law probably need some Type of bipartisan support.
The sector is already an important force in payments. Stablecoins facilitated more than $ 33 billion in volume of transactions during the last year, surpassing Visa and Mastercard combined, according to visa data.
