Banks Ponder Stablecoin Options Amid Shift in Financial Infrastructure
JPMorgan has reportedly reviewed the option of issuing its own stablecoin. According to an August 26 Wall Street Journal report, the bank's discussions were preliminary and no product is under way. A JPMorgan spokesperson stated that the bank has no plans to issue a stablecoin and would assess options as customer demand and regulation evolve.
The reported review fits within a wider shift in the bank's approach to financial infrastructure. As previously reported, Jamie Dimon has placed blockchain and digital assets within JPMorgan's competitive strategy for institutional finance.
A separate group of banks is discussing a commercial stablecoin venture. More than a dozen financial institutions, including Bank of America and Wells Fargo, have been advancing the project. It could begin with a dollar token and later add other currencies such as euros and pounds. However, the report does not identify the legal entity or issuer of the proposed stablecoin.