The banks (like big banks such as JPMorgan) are desperately opposing this, saying that if stablecoins can offer 4–5% interest, people's money will run from banks to stablecoins, and bank deposits could shrink by trillions of dollars, which would disrupt the entire financial system and pose significant risks. They believe this is equivalent to allowing crypto companies to secretly act as "unlicensed banks."

On the crypto side (including the Trump family and their advisors), they say: the banks are just protecting themselves! The interest banks offer to depositors is extremely low (often 0.01%–0.05%), yet they make a lot of money. Now that stablecoins are providing high interest, it's market competition, and banning it would be detrimental to the common people. Trump even publicly stated that this behavior by banks is "anti-American."