By Debra Cope
This is the cover story of the July-August 2026 Directors Briefing. Subscribe here, free for ABA member banks.
“Every community bank has exposure to digital assets, including stablecoins today,” says Tom Lazard, leader for digital assets at Crowe. Customers are already using bank accounts to move money on and off digital asset platforms, creating implications for compliance, transaction monitoring and, potentially, future business opportunities.
One of the challenges for directors, as they look across the digital asset landscape, is understanding what stablecoins and related technologies are—and what questions they should be asking management.
Stablecoins and tokenized deposits are different technologies, but both are designed to facilitate the movement and management of value on blockchain-based networks. One useful way to think about the distinction is that stablecoins move value onto a new rail, while tokenized deposits bring bank deposits onto that rail. (See questions to ask in the boardroom, below.)
The American Bankers Association has supported efforts to establish a clear regulatory framework for stablecoins while warning they could pose risks to deposits and bank lending if not subject to appropriate safeguards.
Lazard argues that directors should avoid getting bogged down in technical details and instead focus on the business implications. The key question is not whether blockchain technology has arrived, but whether it can help a bank meet customer needs, improve efficiency, generate revenue or reduce costs.
For some use cases, the potential benefits are clear. Stablecoins can facilitate near-instant movement of value, reducing settlement delays and friction in payments. They may be particularly useful in situations involving frequent transactions among multiple parties, such as supply chains, marketplaces and gig-economy payment systems. Cross-border payments are another commonly cited use case, especially in regions where banking infrastructure is less developed than in the United States.
For many community banks, however, direct customer demand remains limited. If bank executives were asked how many customers are knocking on the door asking for stablecoin services, Lazard believes most would raise no hands.
That reality is one reason he urges directors to focus on strategy rather than fear of missing out. Some institutions may find opportunities in payments, treasury management or other emerging use cases.
Others may determine that stablecoins are primarily something to monitor rather than adopt.
The regulatory environment is also still evolving. While legislation and regulatory guidance have advanced significantly, many operational and business-model questions remain unsettled.
For directors, the takeaway is not that every bank needs a stablecoin strategy tomorrow. It is that stablecoins are no longer purely a fintech or cryptocurrency story. Customers are already interacting with the ecosystem, and banks need to understand how that activity affects risk, compliance, payments and long-term strategy.
Customers are already interacting with the ecosystem, whether banks participate directly or not.
Questions to ask in the boardroom
- Do we understand how many of our customers are sending funds to or receiving funds from digital assets / stablecoin platforms?
- What risks do digital assets (and associated stablecoin use) create for our transaction monitoring, fraud prevention and compliance programs?
- Are there payments or treasury-management use cases that could create value for our customers?
- Do stablecoins or tokenized deposits present a realistic competitive threat to our deposit base?
- What developments would signal that these technologies are becoming strategically important for our institution?
