Tech giants could potentially evade stability coin regulations, concerns US banks
The financial landscape of the United States is poised for change, according to a recent survey conducted by FinTech infrastructure provider IntraFi. The survey, which collected responses from 455 U.S. banking executives, including CEOs, CFOs, COOs, and bank presidents, reveals a growing optimism in the sector, yet also highlights several challenges that lie ahead.
The survey indicates a growing number of bankers anticipate stronger loan demand in the coming year, reflecting a cautious optimism across the sector. However, this optimism is tempered by uncertainty around Federal Reserve interest rate policy, which remains a limiting factor.
One of the significant challenges identified in the survey is the rising threat of financial fraud, particularly with regard to fraudulent checks. Sixty-eight percent of executives struggled to secure reimbursements, and 82% cited delays or a lack of cooperation from the bank of first deposit as a significant impediment in resolving fraud cases.
The survey also underscores the balancing act banks must perform between embracing innovation and protecting core banking functions. This is evident in the response to the Guiding and Establishing National Innovation for U.S. Stablecoins Act (GENIUS Act), which was enacted on July 18, 2025. The Act aims to establish a regulatory framework for U.S. dollar-backed stablecoins, but 96% of respondents fear that large nonbank entities will find ways around these restrictions and introduce yield-bearing stablecoins.
Mark Jacobsen, Co-founder and CEO of IntraFi, stated that bankers recognize the intent behind the GENIUS Act but have skepticism about its effectiveness. The Act prohibits stablecoin issuers from offering interest or financial incentives to encourage adoption, a measure intended to prevent instability in the financial system.
Despite these concerns, the survey suggests that funding costs are expected to fall in the coming year, offering a glimmer of hope for the sector. However, competitive pressure for deposits is expected to persist, with nearly all respondents forecasting steady or increased competition.
Interestingly, more than half of the banks surveyed (52 percent) have no immediate plans to develop or offer stablecoins or digital deposit products. This could provide an opportunity for non-bank financial institutions, such as asset managers, hedge funds, and family offices, to capitalize on this emerging market.
In conclusion, the survey reveals a complex and evolving landscape for the U.S. banking sector. As the intersection of FinTech innovation, regulatory intervention, and traditional banking stability is under renewed scrutiny, it is crucial for banks to adapt and navigate these challenges to maintain their position in the financial market.
