White House crypto and AI advisor David Sacks said U.S. banks will eventually adopt cryptocurrencies, especially stablecoins, once new legislation reshapes how the sector is regulated.
Sacks said the divide between banks and crypto firms will vanish after Congress passes market structure rules currently in development.
“We’re not going to have a separate banking industry and crypto industry. It’s going to be one digital assets industry,” he said in a CNBC interview.
Sacks’ comments reflect the Trump administration’s belief that its legislative push will further unlock institutional participation in crypto markets.
Many major U.S. banks have historically remained on the sidelines, wary of unclear rules and regulatory risks. Institutional adoption grew after the GENIUS Act was passed in July 2025. Its intent is to regulate stablecoins, and now lawmakers are working on a major bill aiming to define how federal regulators can oversee cryptocurrency markets.
That legislative effort has brought attention to the potential competition between cryptocurrency market players and traditional banks over stablecoin yield, leading to a clash between both sectors in negotiations over crypto market structure legislation currently pending before Congress.
Stablecoins, cryptocurrencies pegged to the value of fiat currencies and commodities, could be a benefit for traditional banks. Sacks said these institutions might come to view stablecoin issuance as a way to offer yields and compete with fintech firms.
“I bet you over time the banks like the idea of paying yield because they’re going to be in the stablecoin business,” he said. The banking industry at large has been lobbying against allowing companies to offer stablecoin yield or rewards in ongoing negotiations over the market structure bill.
Sacks did acknowledge concerns from banks about uneven oversight, with crypto firms often subject to lighter rules. “Everyone offering the same product should be regulated in the same way,” he said.
The upcoming legislation, according to Sacks, will aim for balance. “A good compromise leaves everyone a little bit unhappy,” he said.