Banks Unite for Stablecoin Launch Amid Tether Dominance

Bank of America's shares rose by approximately 0.6% to $62.295 on Tuesday as part of a coordinated effort by 21 major banks to launch a stablecoin, a dollar-backed digital currency.

The group plans to establish a jointly owned company this year and launch the digital currency in the first half of 2027.

This move expands an earlier banking consortium exploring fully reserved digital money on public blockchains, with participants including Goldman Sachs, Citigroup, and Deutsche Bank.

However, the banks are facing a significant challenge from Tether, which already has more than $180 billion in circulation.