US Bank Tests USD-Backed Stablecoin on Stellar Blockchain

U.S. Bank has successfully tested its proprietary stablecoin, USBDC, in a live cross-border payment between its North American and European entities.

The pilot used the Stellar public blockchain to move value between U.S. Bank's own entities, demonstrating how a bank-controlled digital dollar can operate across borders while staying linked to standard banking oversight.

U.S. Bank's Digital Asset Platform handled the issuance, transfer, and redemption of USBDC throughout the process, testing minting, redemption, freezing, and clawback functions.

The bank is now exploring uses for USBDC such as liquidity management, collateral mobility, and cross-border treasury operations, but has not confirmed a public launch or timeline for further testing.