Stripe CEO Predicts Stablecoins Will Force Banks to Offer Higher Yields

Patrick Collison, CEO of payments company Stripe, has predicted that stablecoins will eventually force traditional financial institutions like banks to offer higher interest rates on deposits to remain competitive. He argues that depositors deserve a greater return on their capital in the face of low savings account rates currently hovering around 0.4% for US customers and 0.25% in the EU. Collison emphasized that this business imperative is clear, as offering cheap deposits would only be sustainable if banks offer higher returns to compete with the growing alternative.