{"id":93455,"date":"2026-01-22T17:39:17","date_gmt":"2026-01-22T14:39:17","guid":{"rendered":"https:\/\/forklog.com\/en\/?p=93455"},"modified":"2026-01-22T17:40:14","modified_gmt":"2026-01-22T14:40:14","slug":"circle-ceo-dismisses-regulatory-concerns-over-stablecoins-as-absurd","status":"publish","type":"post","link":"https:\/\/forklog.com\/en\/circle-ceo-dismisses-regulatory-concerns-over-stablecoins-as-absurd\/","title":{"rendered":"Circle CEO Dismisses Regulatory Concerns Over Stablecoins as &#8216;Absurd&#8217;"},"content":{"rendered":"<p>Interest payments on <a href=\"https:\/\/forklog.com\/en\/news\/what-are-stablecoins\">stablecoins<\/a> do not pose a threat to the banking system, stated Circle CEO Jeremy Allaire during the World Economic Forum in Davos. <a href=\"https:\/\/www.weforum.org\/meetings\/world-economic-forum-annual-meeting-2026\/sessions\/where-are-we-on-stablecoins\/\">He remarked<\/a> that fears of potential deposit outflows are &#8216;absolute absurdity&#8217;. According to him, reward systems enhance customer loyalty, but their impact is insufficient to undermine monetary policy.<\/p>\n<p>Allaire drew a parallel with government money market funds, which in the past faced similar warnings about capital outflows from banks. Despite this, the sector has grown to $11 trillion, and lending has not ceased.<\/p>\n<p>The Circle CEO noted that the structure of borrowing is already changing. Financing is shifting from banks to private lending and capital markets. These, rather than bank loans, have provided a significant portion of U.S. GDP growth in recent cycles.<\/p>\n<p>Allaire also highlighted artificial intelligence as a key driver for the mass adoption of digital assets. Billions of <a href=\"https:\/\/forklog.com\/en\/news\/what-are-ai-agents-and-how-do-they-make-life-easier-for-web3-users\">AI agents<\/a> will require an automated payment system. In the businessman&#8217;s view, stablecoins have &#8216;no alternatives&#8217; in this niche.<\/p>\n<p>A similar stance was <a href=\"https:\/\/www.weforum.org\/meetings\/world-economic-forum-annual-meeting-2026\/sessions\/new-era-for-finance\/\">expressed<\/a> in Davos by former Binance head Changpeng Zhao. He emphasized the importance of using cryptocurrencies for transactions between neural networks.<\/p>\n<p>Earlier in January, SkyBridge Capital founder Anthony Scaramucci <a href=\"https:\/\/forklog.com\/en\/news\/scaramucci-criticizes-us-banks-for-undermining-stablecoins-in-favour-of-china\">explained<\/a> how U.S. banks are undermining stablecoins to benefit China.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Interest payments on &#8216;stablecoins&#8217; do not threaten the banking system, stated Circle CEO Jeremy Allaire.<\/p>\n","protected":false},"author":1,"featured_media":93456,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"select":"1","news_style_id":"1","cryptorium_level":"","_short_excerpt_text":"Interest payments on stablecoins do not threaten the banking system, says Circle CEO.","creation_source":"","_metatest_mainpost_news_update":false,"footnotes":""},"categories":[3],"tags":[1229,1220,1138,807],"class_list":["post-93455","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news-and-analysis","tag-banks-and-fintech","tag-circle","tag-opinions","tag-stablecoins"],"aioseo_notices":[],"amp_enabled":true,"views":"173","promo_type":"1","layout_type":"1","short_excerpt":"Interest payments on stablecoins do not threaten the banking system, says Circle CEO.","is_update":"","_links":{"self":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/93455","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/comments?post=93455"}],"version-history":[{"count":1,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/93455\/revisions"}],"predecessor-version":[{"id":93457,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/93455\/revisions\/93457"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/media\/93456"}],"wp:attachment":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/media?parent=93455"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/categories?post=93455"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/tags?post=93455"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}