JPMorgan CFO warns stablecoins risk becoming ‘regulatory arbitrage’ play

During the bank's earnings call on Tuesday, JPMorgan CFO Jeremy Barnum warned that stablecoins could become a tool for regulatory arbitrage unless they are held to the same strict oversight and consumer protection standards as traditional bank deposits. What to know : JPMorgan Chase’s chief financial officer warned that stablecoins could become a form of regulatory arbitrage if they offer bank-like products without being subject to equivalent banking rules. The bank supports clearer U.S. oversight of digital assets, including stablecoins and yield-bearing products, but argues that consistent regulation across banks and crypto firms is more important than moving quickly. While downplaying the threat stablecoins pose to its payments business, JPMorgan is adopting similar blockchain technology through products like JPM Coin, even as it reports stronger-than-expected first-quarter earnings and stable credit conditions.(Coindesk)