Fed council warns stablecoins may pose risk to bank deposits and credit capacity

Members of the Federal Reserve’s Community Depository Institutions Advisory Council (CDIAC) raised concerns that nonbank-issued stablecoins could accelerate deposit outflows from traditional banks and reduce credit availability to local communities. According to the April 10 meeting records, council members expressed apprehension over pending legislation in Congress related to payment stablecoins and their regulatory treatment. source: https://cryptoslate.com/fed-council-warns-stablecoins-may-pose-risk-to-bank-deposits-and-credit-capacity/