Geoffrey Kendrick, Global Head of Digital Assets Research at Standard Chartered, highlighted the Federal Reserve's view that stablecoins could be safer than traditional banks. In a recent interview, Kendrick explained that the 100% asset reserve requirement under the "GENIUS Act," primarily backed by U.S. Treasuries, positions stablecoins as a form of "narrow banking." This structure, he argued, makes them more secure than bank deposits. Kendrick also noted that in extreme financial scenarios, stablecoins might offer more safety than U.S. banks. He mentioned that large-scale redemptions of stablecoins could lead to significant Treasury sales, potentially prompting the Federal Reserve to intervene in the bond market, providing an indirect backstop.