Global Banks Unite for Dollar-Pegged Stablecoin Launch
Twenty-one major global banks have joined forces to launch a dollar-pegged stablecoin next year, bringing traditional finance into the market dominated by crypto firms. The alliance, which includes Goldman Sachs, Bank of America, and Deutsche Bank, aims to target cross-border payments and digital asset markets.
The consortium's scope extends beyond wholesale interbank settlements to include retail markets serving institutional investors and individual consumers. The group plans to expand into other major currencies, with the euro being the top priority.
The pace of global banks' market entry has accelerated as crypto prices began recovering in 2024, and President Trump's family-linked crypto firm World Liberty Financial has entered the stablecoin business. However, analysts note that actual demand for bank-issued stablecoins remains limited, with Tether holding an overwhelming lead in the global stablecoin market.