Banks Team Up to Launch Stablecoin Venture

A group of 21 major financial institutions has announced plans to launch a new company for developing and issuing stablecoins. The consortium includes Bank of America, Goldman Sachs, Citi, Deutsche Bank, UBS, Santander, MUFG, and Fidelity Investments.

The plan is to launch a US dollar-denominated stablecoin in the first half of 2027, subject to the company's formation and other conditions. The group aims to expand into stablecoins denominated in other G7 currencies, with a euro offering identified as its next priority.

The consortium plans to target wholesale, institutional, and retail markets, including use cases such as cross-border payments and digital asset settlement. They intend for the initiative to comply with both the US GENIUS Act and the European Union's Markets in Crypto-Assets Regulation (MiCA), where applicable.