A crypto advisor to Trump says stablecoins will help bring global savings into the US banking system

White House Advisor: GENIUS Act Stablecoins Will Bring Deposits In, Not Drain Them

Patrick Witt, executive director of the President's Digital Asset Advisory Committee, is pushing back on bank lobby talking points. In an X post, he argued that stablecoins issued under the GENIUS Act framework would actually pull deposits into the U.S. banking system—not suck them out. His logic? Global demand for dollars is massive. When foreigners swap local currency for stablecoins with U.S. issuers, that's new net capital flowing into U.S. banks.

Witt also drew a clear line earlier this month: paying yield on balances isn't the part that needs bank-style regulation. What does? Lending or rehypothecating the dollars behind those balances. And the GENIUS Act? It explicitly bans issuers from doing that.