Latest FDIC deposit rates released and consumers across the country are still getting fleeced > 0.07% interest on checking is crazy?! With a $100 balance you'd earn 7 cents! Enough for absolutely nothing in the country > Meanwhile a bank, using that same deposit money, and without taking any duration or credit risk or leverage, would earn the other $3.57 that your funds generate! Enough for a hot Dunkin Donuts coffee while you're toiling away > Pretty obvious why the banking consortium doesn't want stablecoin issuers paying out any yield; status quo is pretty good!
Omar
@TheOneandOmsy
01-14
If you're wondering why the banks don't want yield on stablecoins, here's the summary of National Deposit Rates from the FDIC:
-> Savings = 0.39%, Checking = 0.07%, MM= 0.58%!
-> All while the Treasury Yields are 3.89% (from 12/15)
-> That fat spread of 3.82% represents bank x.com/EleanorTerrett…
Sector:
From Twitter
Disclaimer: The content above is only the author's opinion which does not represent any position of Followin, and is not intended as, and shall not be understood or construed as, investment advice from Followin.
Like
Add to Favorites
Comments
Share
Relevant content
