The banks we regulate, in contrast, are well protected from bank runs through a robust array of supervisory requirements. Consider the consequences if a stablecoin not subject to appropriate supervision and regulation were to be adopted as a widespread means of payment, which some stablecoin developers state as a goal. Stablecoins have the potential to scale quickly because of network effects.
An unregulated, unsupervised, deposit-like asset could create tremendous disruptions, not just for financial institutions but for people who might rely on the coin if it were to get wide adoption. We must learn from the past to ensure that we  14 Kyle Campbell, “Powell: Stablecoin Regulation Belongs to the Fed,” American Banker, September 27,  2022, https://www.americanbanker.com/news/powell-stablecoin-regulation-belongs-to-the-fed.