U.S. Bank Successfully Tests Cross-Border Payment Pilot with USBDC

US Bank has successfully completed a live cross-border payment pilot using its proprietary U.S. dollar-backed stablecoin, USBDC. The transaction demonstrated that the lender can move its token between bank entities on a public blockchain network, Stellar, while maintaining established financial controls.

The pilot evaluated four key functions: minting, payment redemption, freezing, and clawback. Freezing and clawback allow the issuer to halt or reverse token movement when necessary, giving U.S. Bank control over the asset's lifecycle.

U.S. Bank developed its own Digital Asset Platform to issue, manage, and transfer the tokens, which remained integrated with its core finance, risk, compliance, and operations infrastructure.