David Edwards
Brian Moynihan, the CEO of Bank of America, stated in a recent interview with Fortune that the financial services behemoth is ready to join the stablecoin market—as long as American politicians create a framework for such digital assets.
Moynihan highlighted stablecoins’ potential as dependable financial products by drawing comparisons to money market funds or conventional bank accounts. He said he is confident that stablecoins would soon be recognized as legal assets in the United States, allowing financial institutions to issue them safely.
“If they make that legal, we will go into that business,” Moynihan stated, highlighting that regulatory clarity remains the critical factor for Bank of America’s entry into the stablecoin sector.
Plans for Stablecoins by Bank of America
Bank of America plans to produce “BofA Coins,” stablecoins that are directly tied to customer deposit accounts in US dollars, if the required legislation is passed.
Moynihan also highlighted the bank’s substantial technical investments, revealing that Bank of America spends about $4 billion a year on new technologies. He predicted that the annual cost of the infrastructure needed for a stablecoin system would be between $8 and $9 billion, but the impact on digital payments and banking would be “unbelievable.”
Bank of America has always placed a high priority on technical innovation; according to Moynihan, the company was one of the first to release a mobile banking app for iPhones, long before mobile apps were commonplace in the market.
