US Senator Lummis says banks should adopt digital assets, not resist them

US Senator Cynthia Lummis said banks should embrace digital assets rather than resist them, arguing that cryptocurrencies and stablecoins offer new products and revenue opportunities for traditional financial institutions.

In a Fox News interview shared on X, the Wyoming Republican said blockchain-based payments could make financial services faster and cheaper while expanding what banks can offer their customers.

Lummis says digital assets offer new opportunities for banks

“One of the things I don’t understand about the bank’s resistance is that this gives them a whole new financial product to offer to their customers,” Lummis said.

She pointed to digital asset custody and stablecoin payments as areas where banks could play a bigger role.

“Whether it is the custody of digital assets, which three states already allow, or the use of stablecoins as a payment mechanism that is faster and cheaper than a debit card,” she said, banks will benefit.

Faster and cheaper payments for consumers

Lummis emphasized that the main benefit of digital assets would be felt by consumers. She said blockchain technology allows money to move more efficiently than existing banking infrastructure, especially for cross-border payments.

“It will be faster and cheaper for consumers to do business, whether across the country or abroad,” she said. “Money can be transferred faster on the blockchain than if you go through existing banking structures.”

She argued that these efficiencies could reduce costs for everyday transactions and international transfers. She also noted that lawmakers and regulators have been working to ensure consumer protections as digital assets become more widely used.

“We want to make sure it’s not only faster and cheaper, but it’s still safe,” she said. Lummis added that discussions with the Federal Reserve have focused on ensuring proper safeguards are in place.

The senator framed digital assets as a natural evolution of financial services rather than a threat to the existing system. She said a range of stakeholders are working to integrate blockchain-based products into the modern financial world.

“There are a lot of interested parties who want to make sure that as we integrate this into the 21st century financial services industry, it integrates beautifully,” she said.