Bank of America CEO Brian Moynihan acknowledged the potential outflow of up to $6 trillion from the U.S. banking system into stablecoins. This represents approximately 30-35% of total deposits in the country.
This forecast is based on a study by the U.S. Treasury. Previously, the Banking Policy Institute referenced the same report, warning of the risks of a capital outflow amounting to $6.6 trillion.
Moynihan compared “stablecoins” to money market funds, noting that their reserves are typically invested in short-term government bonds rather than being used for lending. As a result, liquidity is leaving the traditional sector, depriving banks of resources to lend to businesses and consumers.
“If you withdraw deposits, they will either be unable to issue loans or will have to seek wholesale funding, which will come at a cost,” said the Bank of America CEO.
Legislative Debates
U.S. lawmakers are attempting to address this issue. The latest version of the Clarity Act, introduced by Senator Tim Scott, prohibits digital asset providers from paying interest or any income “simply for holding” stablecoins.
However, the bill allows for rewards for active participation in the ecosystem. Exceptions are made for income from:
- providing liquidity;
- participating in protocol governance;
- staking;
- other activities that ensure the network's functionality.
The Senate Banking Committee planned to review the bill on January 15, but the meeting was postponed. Scott cited the need for further discussions.
I’ve spoken with leaders across the crypto industry, the financial sector, and my Democratic and Republican colleagues, and everyone remains at the table working in good faith.
— Senator Tim Scott (@SenatorTimScott) January 15, 2026
As we take a brief pause before moving to a markup, this market structure bill reflects months of…
“I have spoken with leaders in the crypto industry, the financial sector, and my Democratic and Republican colleagues; all parties remain at the negotiating table, acting in good faith,” he wrote.
The politician did not specify a new date.
Earlier, the Senate Agriculture Committee postponed its review of the bill to January 27.
“We have made progress in discussions and are having constructive dialogue, but we need additional time to resolve the remaining contentious issues and gain the broad support necessary for such legislation,” explained Republican John Boozman.
The House of Representatives passed its version of the bill in July. The process now requires agreement in two relevant Senate committees: the Banking Committee (which oversees the SEC) and the Agriculture Committee (which oversees the CFTC). Only after this will the bill be put to a general vote.
Discontent in the Crypto Industry
The latest version of the bill has sparked disputes within the crypto community. Many disagree with the restrictions on payments for stablecoins.
Coinbase was the first exchange to withdraw its support for the bill. CEO Brian Armstrong stated that the revised project is “significantly worse than the current state of affairs.”
After reviewing the Senate Banking draft text over the last 48hrs, Coinbase unfortunately can’t support the bill as written.
— Brian Armstrong (@brian_armstrong) January 14, 2026
There are too many issues, including:
— A defacto ban on tokenized equities
— DeFi prohibitions, giving the government unlimited access to your financial…
Among the “problematic” provisions he highlighted were:
- a de facto ban on tokenized equities;
- strict limitations on the DeFi sector, which would paralyze its development;
- violations of user rights and threats to privacy;
- weakening of the CFTC, whose regulatory model is best suited for innovative assets;
- elimination of the ability to earn passive income from stablecoins.
“We would prefer to have no law at all than this one. We hope we can all come to a better solution,” wrote Armstrong.
He was supported by Bitwise's head of research, Ryan Rasmussen.
“If the banking lobby succeeds in banning yield on stablecoins, it will be direct evidence that the Senate is working for the interests of banks, not the people. […] Any support for this provision from elected representatives is unjustifiable,” added Ryan Sean Adams, host of the Bankless podcast.
Crypto lawyer Jake Chervinsky urged against jumping to conclusions. He believes that industry representatives will have time to propose amendments to the bill while it is still being refined.
1/ 🚨 Market structure goes to markup tomorrow!
— Jake Chervinsky (@jchervinsky) January 14, 2026
This is a historic moment for crypto in Washington. Senate Banking has done extraordinary work putting together a strong product.
There’s a lot to like in the new draft, but also some key issues left to address. Let's discuss 🧵
“The text will change significantly before it becomes law. Let’s hope for the best,” he wrote.
Some experts have endorsed the current version of the Clarity Act. a16z Crypto managing partner Chris Dixon emphasized that the community “needs clear rules.”
The investor described the document as the result of five years of collaboration between business and government, including both parties in Congress and Donald Trump's team. Dixon believes the initiative will protect decentralization and create fair conditions for entrepreneurs.
“At its core, the bill fulfills these objectives. It is not perfect, changes are needed. But now is the time to push for Clarity, especially if we want the United States to remain the best place to build the future of cryptocurrency,” Dixon concluded.
Coin Center Executive Director Peter Van Valkenburgh also noted that he is “optimistic about the current draft of the market structure bill.”
Recall that in January, JPMorgan Chase CFO Jeremy Barnum warned about the dangers of yield-bearing stablecoins.