
Banks hold the key to on-chain corporate treasury—if they cooperate
Senior payment executives at an American Banker roundtable concluded that traditional banks possess a structural advantage in the on-chain corporate treasury market, provided they collaborate on shared infrastructure. While nonbank stablecoins face skepticism from large enterprises due to counterparty risks, bank-backed assets are viewed as the preferred solution for corporate liquidity. A case study presented during the forum demonstrated that stablecoin rails could reduce cross-border settlement times from eight days to minutes, offering significant tax and efficiency benefits. The consensus suggests a future architecture where tokenized deposits provide safety and yield, while stablecoins function as the interoperable transit layer for B2B payments. Participants emphasized that proprietary, isolated ledgers offer poor ROI, necessitating the development of consortium-based networks with central bank clearing connections. As tokenized Money Market Funds begin to offer minute-by-minute yields, banks face pressure to modernize to prevent the erosion of traditional idle balances. Ultimately, the group identified that the programmability of smart contracts, rather than raw speed, represents the primary value proposition for future institutional financial operations.








