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Stablecoins and Tokenization Are Squeezing Money Market Funds: Bank of America Sounds Alarm

Stablecoins and Tokenization Are Squeezing Money Market Funds: Bank of America Sounds Alarm

Author:
Coindesk
Published:
2025-08-21 14:05:53
11
3

Stablecoins, Tokenization Put Pressure on Money Market Funds: Bank of America

Digital assets just declared war on traditional liquidity pools.

Stablecoins and asset tokenization are rewriting the rules of short-term finance—and money market funds are feeling the heat. Bank of America highlights a tectonic shift as blockchain-based alternatives offer instant settlements, global access, and transparency that legacy systems can’t match.

Why park cash in a twentieth-century vehicle when digital dollars work harder, faster, and smarter?

TradFi’s slow-and-steady approach looks increasingly like slow-and-outdated. Another case of finance catching up—rather than keeping up.

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