ChainCatcher reported that Blockworks co-founder Jason Yanowitz shared a view from Apollo’s chief economist on how agents could affect bank funding. According to the economist’s assessment, agents may trigger bank runs by aggregating household cash and moving it out of low-yield accounts. The argument centers on the gap between the national average account rate of 0.1% and alternative accounts paying 3% to 5%. If that shift happens at scale, banks could lose a large share of their cheap deposits. The item was published as a 7x24 newsflash by ChainCatcher.
ChainCatcher reported that Blockworks co-founder Jason Yanowitz shared an assessment from Apollo’s chief economist: agents may trigger bank runs by aggregating household cash.
According to the chief economist, agents could move household cash out of accounts paying the national average rate of 0.1% and into accounts offering 3% to 5%, causing banks to lose a large portion of their cheap deposits.
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