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Chana Schoenberger (00:11):
So we hear from a lot of banks, especially community banks, that they're very scared of the idea of stablecoin. They're afraid that it's going to take a lot of their deposits.
Kristin Smith (00:23):
Yes.
Chana Schoenberger (00:23):
And there have been arguments pro and con. What do you think?
Kristin Smith (00:26):
Yeah. I mean, listen, I think if you are looking to get yield on sort of an idle balance, stablecoins is potentially one option there. However, we haven't really seen that have an impact on community banks as of today. And so I think most people still want to have that sort of trusted face. They like to know there's a physical building. They want to know that people are there. And so for community banks, I think we're a long way off for that model being upended. There was a provision in the Clarity Act that would've gone a long way towards changing the way that crypto intermediaries provide their rewards programs, but unfortunately that bill does not have the critical mass to go forward. But we are operating under the Genius Act today, other rulemakings that are happening around this very question. And so some of the practices today I do think are going to change.
(01:32):
But I do think that when you upgrade financial rails, the cost of offering services can become lower. And I think that there are going to be ways for community banks to take advantage of this, to offer better services, offer more services to their customers. And so I do think we're seeing more of a convergence between the digital asset world and the traditional banking world and less of a competition. And so I would say to the banks, be open-minded that I think this is an opportunity and should not be perceived as a threat.