A financial model investigating the issuance of digital money as central bank
digital currency (CBDC) or as stablecoins found that a fully-integrated digital
currency would lead to higher and less volatile asset prices, and household
welfare gains are potentially large which could lead to an increase in
consumption by up to 2%. However, a fully-integrated digital currency would
depress bank deposit spreads, particularly during times of crises, which limits
the banks’ abilities to recapitalize losses after a bank crises. These
investment losses, not specifically bank runs, create instability, the paper
argues. Another research paper found that bank runs are not as big as initially
feared. This paper can be found here:
https://www.financialresearch.gov/working-papers/2022/07/11/central-bank-digital-currency/
[https://www.financialresearch.gov/working-papers/2022/07/11/central-bank-digital-currency/]
Both papers focus on the issuance of CBCD and stablecoins and do not include
privately issued money like LETS/Time Dollars and similar privately issued
complementary currency systems. (Edited to correct a typo.)