Traditional banks finally admit what's really bothering them about stablecoins.

A major bank CEO recently made it crystal clear: the problem isn't consumer safety. It's something much more fundamental—stablecoins threaten the entire banking business model.

Here's what the math actually looks like. Banks pay depositors almost nothing. Savings accounts? Around 0.39%. Checking accounts? A measly 0.07%. Most people don't even bother checking their rates because, let's face it, the returns are laughable.

But stablecoins? They offer real yield. And that's the real issue. When users can park their cash in a stablecoin and earn meaningful returns without dealing with traditional banks, the whole profit structure falls apart.

Banks have built their model on a simple formula: take deposits at near-zero rates, deploy that capital, pocket the spread. It's worked for decades. But now? Now they're competing against protocols that offer transparency, efficiency, and actually attractive returns.

It's not about regulation or risk management—those are the talking points. The real concern? Losing control of the funding base. Stablecoins represent a shift in how value flows through the financial system. And for traditional banking, that's existential.