• Community banks see net deposit outflows to Coinbase: Study A transaction-level analysis of 92 community banks found $78.3 million in net deposits moved to Coinbase over 13 months, with money market accounts losing most outflows. • Cointelegraph in your social feed New analysis from banking data company KlariVis found that 90% of community banks in its sample had customers transacting with Coinbase. • Across 53 banks where transaction direction could be determined, $2.77 flowed to the crypto exchange for every $1.00 returning, resulting in a net $78.3 million deposit shift over 13 months. • Thestudyreviewed 225,577 Coinbase-related transactions across 92 community banks and found that transfers were heavily concentrated in money market accounts, where 96.3% of identifiable transaction volume represented funds leaving banks for the exchange. • “In general, community banks can be defined as those owned by organizations with less than $10 billion in assets,” the Federal Reservesayson its website. • KlariVis said that if the patterns observed in the sample hold nationally, more than 3,500 of the country’s roughly 3,950 community banks could have similar customer activity tied to Coinbase transfers.
Article Summaries:
- A KlariVis study shows that most community banks (90 % of those sampled) have customers transacting with Coinbase, with a net outflow of $78.3 million over 13 months. In 53 banks where direction could be traced, $2.77 left the bank for every $1 returned, largely from money‑market accounts (96 % of identifiable volume). Smaller banks (<$1 billion deposits) experienced higher relative outflows (82‑84 %) than larger ones (66‑67 %). The net loss could reduce small‑bank lending by roughly $30 million. The findings arrive amid congressional debate over the CLARITY Act, which seeks to regulate yield on crypto holdings.
Sources: