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wbjournal.com | April 20, 2026 | Worcester Business Journal 21 ADVICE & OPINION BY KATE GALLO MEGRAW Special to WBJ I f you caught the Wall Street Jour- nal podcast episode "Big Banks vs. Big Crypto," you heard something that should matter to every com- munity banker, and every custom- er, in Central Massachusetts. e episode centers on a battle play- ing out in Washington, D.C. over the CLARITY Act, proposed crypto market structure legislation that has Coinbase CEO Brian Armstrong and JPMorgan CEO Jamie Dimon trading public barbs. At the heart of the fight is whether crypto companies should be allowed to offer yield-like rewards on stablecoins that function, in every practical sense, like interest on a savings account. is isn't a Wall Street problem. It's a Main Street one. Here's what's actually happen- ing. Platforms like Coinbase have spent years expanding beyond trading; adding payments, stock investing, and now savings-like products. ey're build- ing what Armstrong himself calls a super app for financial life. e rewards they're dangling on stablecoins aren't incidental; they're a strategic weapon designed to pull deposits away from traditional banks by offering rates that most savings ac- counts can't match. And unlike federally regulated deposits, these products exist in a regulatory gray zone the CLARITY Act would attempt to clarify – but hasn't yet. e biggest banks have the scale to absorb this shi. Community banks need to pay closer attention. At Webster Five, deposits aren't just a balance sheet line item. ey're the fuel that lets us make the loans that matter in Worcester: the small business line of cred- it, the first-time homebuyer mortgage, the nonprofit facility loan. Our deposit base is our community's trust made liquid. When that trust – and those dollars – migrate to a crypto platform in San Francisco, it doesn't come back to Webster or Shrews- bury or Auburn. It funds someone else's vision of what finance should look like. I want to be clear: I'm not afraid of competition, and I'm not opposed to inno- vation. At Webster Five, we've been early movers on tech- nologies that serve our customers well, including instant payment solutions de- signed specifically for the small business- es and nonprofits that are the backbone of the Worcester regional economy. We believe technology should be in service of community, not a substitute for it. at's true for instant payments, and it could be true for stablecoins as well — if they're developed within a framework that prioritizes consum- er protection and works alongside the institutions that communities already trust. But crypto re- wards products are a different kind of challenge. ey're built to look like savings, feel like savings, and earn like savings, while car- rying none of the consumer protections, deposit insurance, or regulatory oversight that actual savings accounts do. at's not innovation. at's regulatory arbitrage dressed up with a good interest rate. Community banks deserve a seat at the table as this legislation takes shape. We don't yet know how the CLARITY Act will land, but the questions it's wrestling with around stablecoin rewards, deposit definitions, and consumer protections are ones that community banks have a real stake in answering. What happens in that hearing room will ripple directly into bank branches, local lending decisions, and kitchen tables across Central Massa- chusetts. is conversation is too important to leave to Coinbase and JPMorgan alone. Kate Gallo Megraw is the chief operating officer and chief information officer for Auburn-based bank Webster Five. When crypto comes for your savings account Kate Gallo Megraw VIEWPOINT W BY JANELLE DROLET Special to WBJ 10. Cyber risks go beyond just IT. A cyberattack can freeze operations and damage customer relationships. A breach exposing client data can trigger lawsuits, while downtime during an attack may lead to cash flow issues. Cybersecurity isn't just about data; it's about business continuity. 9. Complacency can be a threat. Many businesses assume they're too small to target, but 88% of SMB breaches involved ransom- ware, more than double the rate for large organizations. Attackers exploit weak defenses, such as unpatched soware, poor employee training, or misconfigured cloud systems. 8. Growing regulatory/legal exposure. Industries like health care, finance, and retail face strict penalties for non-compliance. Even non-regulated businesses risk lawsuits from customers or partners post-breach. Proactive compliance reduces liability and builds trust. 7. Boards lack cyber expertise. Only 5% of companies have a cybersecu- rity expert in the boardroom, leaving most boards ill-equipped to make informed decisions on cyber risk. Leadership must actively engage in risk management to ensure security aligns with business goals. 6. Reputational damage. Customers, investors, and partners lose trust aer a breach. Employees can lose faith. A single incident can tarnish a brand for years, especially if negligence is proven. Transparency and rapid response are critical. Prevention is cheaper than recovery. 5. Boards need a cyber advocate. A dedicated cyber expert can translate technical risks into business terms. is advocate ensures informed decisions on risk tolerance, budget allocation, compliance matters, and incident response planning. 4. Budget discussions should include risk. Reframe cybersecurity spending around downside risk and resilience, shiing the conver- sation from, "How much does this cost?" to "What's the impact if we don't invest?" 3. Clearly define accountability. Boards must determine who owns cyber risk, establish the organization's risk appetite, and identify which business initiatives (cloud migrations, AI, new partners, etc.) increase exposure. 2. Prioritize cyber risk in board agendas. Discuss threats alongside financial and operational risks. Demand clear metrics (e.g., phishing test pass rates, risk/gap assessment). Engage third parties for audits and stress-testing defenses. 1. Cybersecurity is an investment. Every dollar spent on proactive measures (e.g., employee training, endpoint detection, backups) can prevent exponentially higher breach costs. Framing security as risk mitigation helps justify necessary spending. Janelle Drolet is vice president of sales and operations for Towerwall, a cybersecurity consulting firm based in Framingham. Every board should know about cyber risk Janelle Drolet 10 THINGS … W The rewards are a strategic weapon to pull desposits away from traditional banks.