How Stablecoin Could Shape the Competition
Nonbank fintech firms have proven themselves formidable competition for deposits, and the introduction of a stablecoin framework adds a new competitive element into the mix. While smaller banks don’t need to immediately jump into stablecoin, they can think about how they might eventually participate in it, says Michael Reed, a partner with Skadden, Arps, Slate, Meagher & Flom LLP. Banks have certain competitive advantages granted by bank charters and may be able to offer stablecoin access to customers via partnerships with stablecoin issuers.
Topics discussed include:
- Competition for Deposits
- Consumer Demand for Stablecoin
- Advantages of a Bank Charter
Michael Reed
With more than two decades of experience advising the nation’s leading banks, Michael Reed has handled hundreds of M&A and capital markets transactions for financial institutions and fintech companies. He also counsels executive management and boards of directors of financial institutions and fintech companies on strategic, regulatory and risk management matters. His experience includes nearly two dozen bank IPOs as well as equity investments, debt financings, joint ventures and strategic alliances, including the formation and growth of bank-fintech partnerships.