Banks Reconsider Stablecoins as Payments Competition Grows
Major U.S. and international banks are reconsidering stablecoins as payments competition grows, according to an Aug. 26 Wall Street Journal report.
JPMorgan recently evaluated the option of issuing a stablecoin, but has no current plans to do so, despite Chief Executive Jamie Dimon's previous statement that the bank would become more involved with stablecoins to understand their role and compete with financial-technology companies.
More than a dozen global banks are reportedly advancing a shared stablecoin venture, which would initially focus on a U.S. dollar token before potentially adding euros and other Group of Seven currencies.
The BankChain Alliance, formed by 39 state banking associations, is targeting a 2027 launch for its blockchain infrastructure platform, which could support stablecoins, tokenized deposits, smart payments, and automated settlement.