Tokenized Deposits Could Cost Banks $700B: Dallas Fed Economists | CoinDesk Daily

— Dallas Fed economists warn tokenized deposits could reduce U.S. bank lending capacity by approximately $700 billion if depositors become just 10% more yield-sensitive.

— Banks may respond to deposit flight by raising interest rates or tapping expensive term debt, which could increase borrowing costs for consumers and businesses.

— Bitcoin options expiring Friday on Deribit total $6.4 billion notional value with a 0.83 put-to-call ratio indicating bullish positioning as price climbed from $62,000 to $80,000.

— Gamma hedging is expected to intensify into the Friday options expiry due to over $500 million in notional value within 5% of current price.

— European Central Bank clarifies its digital euro will not enable surveillance, with offline payments functioning like cash and online transactions subject only to bank-level identity verification for AML compliance.

— Digital euro rollout is scheduled for 2029.

— Bitcoin price range discussed: $62,000 to $80,000.

— $6.4 billion in Bitcoin options expiring Friday; put-to-call ratio of 0.83 signals bullish sentiment.

— Over $500 million in notional value positioned within 5% of current Bitcoin price.

— Monitor the Friday Deribit options expiry for potential volatility driven by gamma hedging, particularly given the concentration of contracts near current price levels.

— Consider how tokenized deposits and resulting bank lending constraints could influence long-term credit costs and macroeconomic conditions affecting Bitcoin adoption.