A group of 21 banks and financial firms including Bank of America, Wells Fargo, Citigroup and Goldman Sachs are preparing to launch a dollar stablecoin for business payments across borders.
The firms say they will form a new company in the second half of 2026 and aim to have the token live in the first half of 2027, reports the Wall Street Journal.
Stablecoin are digital tokens meant to stay pegged to a currency, in this case the U.S. dollar.
The first customers are meant to be companies sending money overseas. Some regions may later offer it to regular customers. After the dollar version, the group wants tokens tied to other Group of Seven currencies, with the euro first.
Deutsche Bank, Santander, UBS and Fidelity are also in the group, along with banks in Canada, Japan, the Middle East and Africa.
Banks are treating this as a defense against independent stablecoins that could pull deposits and payment fees away from them.
JPMorgan Chase has looked at launching its own stablecoin. Those talks are early, and it has no product in the works. Banks have also worked together on tokenized deposits, which are regular bank deposits represented as digital tokens.
Follow us on X, Facebook and Telegram
Don’t Miss a Beat – Subscribe to get email alerts delivered directly to your inbox
 
Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any losses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any assets including cryptocurrencies, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
Generated Image: Midjourney
Other Articles
Fed rate hike odds hit 72% as Barr warns on inflation
Ripple billionaires’ RLUSD captures less than 0.04% of stablecoin market
No Comment! Be the first one.