Dr Ozan Ozerk Explores Banks and Crypto Clash Over Stablecoins

Dr Ozan Ozerk Explores Banks and Crypto Clash Over Stablecoins

LONDON, UNITED KINGDOM, October 15, 2025 /EINPresswire.com/ -- As the global financial system continues to evolve, a new front has opened in the long-running debate between traditional banks and the cryptocurrency industry. The latest flashpoint: stablecoins — digital assets pegged to fiat currencies such as the US dollar — and whether they pose a systemic risk to the banking sector.

In a new article for the Forbes Finance Council, fintech entrepreneur Dr Ozan Özerk, founder of both EMBank and OpenPayd, argues that the perceived threat has been exaggerated. He contends that while concerns over deposit outflows from traditional banks are understandable, the figures being cited by banking lobbies are misleading.

The controversy began after lobbying groups claimed that stablecoins could lead to as much as $6.6 trillion in deposit withdrawals, potentially undermining the banking system’s ability to create credit. The figure, attributed to a US Treasury report, has been widely quoted by industry associations and financial media outlets. However, Dr Özerk notes that the Treasury report in question never made such an assertion.

“The $6.6 trillion number refers to the total amount of liquid cash in the US economy — not potential stablecoin outflows,” he explains. “When you dig into the details, the actual amount that could move into stablecoins is closer to $400 to $700 billion. That’s significant, but it’s not enough to trigger a credit crisis.”

According to Dr Özerk, the banks’ alarm stems less from genuine financial risk and more from competitive pressure. While the average US savings account currently earns around 0.6% interest, stablecoins are backed by US Treasuries and can deliver higher yields, albeit indirectly, through exchange-based “reward” programmes.

“Stablecoins are offering consumers something that banks have failed to: fairer returns and faster payments,” says Özerk. “Understandably, banks feel threatened, but the solution isn’t to stifle innovation. It’s to adapt.”

Still, he acknowledges that crypto exchanges operating as quasi-banks without equivalent regulatory oversight present a valid concern. “Any entity acting like a bank should be regulated as one — but the existing framework wasn’t built for blockchain’s speed and transparency. We need a new approach, not a blanket ban.”

Dr Özerk proposes a more pragmatic solution: partnership. He envisions a future where banks and crypto firms collaborate rather than compete, combining the compliance infrastructure of traditional finance with the efficiency and scale of blockchain technology.

He cites the emerging partnerships between major institutions, such as JPMorgan’s collaboration with Coinbase, as early signs of this shift. “Banks bring experience and regulation. Crypto brings innovation and speed. Together, they can build a stronger financial ecosystem.”

As the dust settles on yet another crypto-versus-banks debate, Özerk’s message is clear: the industry is moving through its “seven stages of grief”, from denial and anger towards acceptance. “Change is inevitable,” he concludes. “When that happens, smart players look for partners that fill the gaps in their own expertise.”

The full version of the article can be found here on Forbes Finance Council website.

Ozan Ozerk
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