We analyze the run risk of USD-backed stablecoins. Stablecoin issuers aim to keep the
stablecoin price at $1 by holding a portfolio of US dollar assets like bank deposits …

This paper is the first to provide a comprehensive comparison of two financial instruments:
stablecoins and money market mutual funds (MMFs). We observe similar reserve asset …

The failure of major banks in 2023, such as Silicon Valley Bank (SVB), Signature Bank, First
Republic Bank, and Credit Suisse, points to the continuing need for financial institutions to …

This paper studies how stablecoin profitability, captured by their ability to invest their
reserves in financial instruments, is the biggest driver of stablecoin growth. Tether (USDT) …

Using a new series of crypto shocks, we document that money market funds'(MMF) assets
under management, and traditional financial market variables more broadly, do not react to …

This paper analyzes the fragility of stablecoin issuers in an economy where they coexist with
traditional financial institutions, such as banks. The lack of commitment to honor redemption …

The collapse of Silicon Valley Bank (SVB) on 11 March 2023, and the subsequent
depegging of the USDC stablecoin highlighted vulnerabilities in the interconnected financial …

The cryptocurrency market is characterized by extreme volatility, with events such as the
Terra-LUNA crash of 2022 raising significant questions about the resilience of algorithmic …

Do central bank digital currencies (CBDCs) displace the demand for stablecoins? Using
data between 2020 and 2023, we study the effects of CBDC adoption and rhetoric on the …

The extent to which financial technology will shape the banking industry depends in part on
the nature of competition for banking services that arises from innovation by incumbent …