Banks Flood into Stablecoin Market as JPMorgan Considers Public Stablecoin

JPMorgan Chase is reportedly exploring the possibility of launching a public stablecoin separate from its existing deposit token, JPM Coin. According to a Wall Street Journal report, the bank has no current plan for a stablecoin but is considering its options in light of evolving customer demand and regulation.

The move comes as more than a dozen global banks are developing multicurrency stablecoin ventures, including one reportedly starting with dollars. The BankChain Alliance, formed by 39 state banking associations representing over 3,000 banks and $21.8 trillion in combined assets, is also building shared blockchain infrastructure for tokenized deposits and programmable payments.

The GENIUS Act, signed into law in July 2025, created the first federal framework for payment stablecoins and gave banks a clear license path to issue them. The act's passage has led to increased activity in the stablecoin market, with over $316 billion in total value and Tether holding 59% by market capitalization.