Banking Regulation with Risk of Sovereign Default

WP 26-25 – Banking regulation's failure to recognize the riskiness of government debt induces domestic banks to purchase risky government bonds and lowers the government’s borrowing costs. A government might use banking regulation to avert a default.

Featured Work

When Market Conditions Turn Volatile, Why Don’t Banks Use Bond Portfolios as Shock Absorbers?

Research in Focus — Three economists explain why banks didn’t adjust their bond portfolios during the 2022–2023 bout of rising interest rates.

Flight to Safety: Evaluating Stablecoin’s Role as a Safe-Haven Asset in DeFi Markets

WP 26-24 – This study examines the impact of the stablecoin Tether (USDT) on systemic liquidity across the Ethereum and Bitcoin markets, utilizing an event study approach that integrates on-chain wallet data, pricing, and financial metrics.

AI-Enabled Fraud Is On the Rise — Here’s How to Beat It

A February 2024 deepfake scam in Hong Kong, where an employee wired $3.2 million to fraudsters posing as executives, highlights a critical reality: AI-enabled fraud is on the rise.

Featured Data

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Institutions in the Third District

This interactive tool summarizes information about banks and holding companies within the Third District (comprising eastern and central Pennsylvania, southern New Jersey, and Delaware) and provides each institution’s location and asset size as of the most recent quarter.

Updated: 11 May ’26

Map of the Third Federal Reserve District

Third District Banking Conditions

Third District Banking Conditions is a semiannual report comparing the trends of Third District community banks with their national peers.

Updated: 20 Mar ’26

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Large Bank Credit Card and Mortgage Data

The Large Bank Consumer Credit Data are based on Y-14M credit card and mortgage data provided by the largest financial institutions in the United States.

Updated: 08 Apr ’26