Caitlin Long, founder and CEO of Custodia Bank, highlighted the current scale of the stablecoin market, noting it holds approximately $300 billion in assets. This figure stands in contrast to the $5.7 trillion currently held in traditional demand deposits within the banking system.
Long suggests that the integration of tokenization into traditional banking infrastructure represents a significant development for the financial sector. She notes that the US Treasury is actively exploring the potential for tokenized dollars, while the Federal Reserve continues to evaluate its position on the matter.
The discussion also touched upon the competitive dynamics between tokenized bank deposits and existing stablecoins. Long addressed broader macroeconomic themes, including the impact of Treasury market stress, the role of AI agents in banking models, and the potential for Bitcoin to serve as digital gold.
