Dallas Fed warns tokenized deposits could drain $700 billion from bank lending, reshaping credit markets and deposit flows.

According to @ameliamariec, high value, low or no velocity assets such as tokenized money market funds contribute significant value and streamline back-office processes, but they lack active trading and liquidity, limiting their impact on dynamic markets. For crypto traders, these assets are primarily beneficial for registry and settlement efficiency rather than speculative trading opportunities (source: @ameliamariec, May 13, 2025).