Banks Unite to Launch US Dollar Stablecoin in 2027 Amid Blockchain Revival

A group of 21 financial institutions, including Goldman Sachs and Bank of America, plan to create a company in 2026 to issue a US dollar stablecoin. The stablecoin is expected to be launched in the first half of 2027. This move aims to expand into stablecoins pegged to other G7 currencies, with the euro being a priority.

The group's announcement comes as a response to the revival of interest in blockchain technology sparked by the rebound in crypto prices in 2024 and US President Donald Trump's support for the sector. This new development will compete with another consortium called Qivalis, which plans to launch a euro-pegged stablecoin later in 2026.

The stablecoin market is dominated by El Salvador-based Tether, which has issued over $180 billion worth of its US dollar-pegged token and made billions in profits. However, the demand for stablecoins issued by banks remains low, with France's Societe Generale being an exception.