Stablecoin

Bank of Montreal has introduced a tokenized cash and deposit platform, while the London-based Monument is partnering with the Midnight Foundation's distributed ledger. Also, Starling Bank's AI play, stablecoins gain ground in APAC and Africa and more in the American Banker global payments and fintech roundup.

Draft legislative language meant to break an impasse on stablecoin yield circulating among stakeholders includes a lengthy list of exceptions to a ban on rewards for stablecoin holdings, making it unlikely to satisfy banks as negotiations continue.

Western Union CEO Devin McGranahan said at the Digital Asset Summit in New York that stablecoins were a great way to earn float revenue on money moving through its network. But the possibilities didn't end there.

Speaking at the Digital Asset Summit, the Comptroller of the Currency argued that part of his goal in shifting the agency's posture toward the crypto industry is to allow smaller financial institutions to engage in novel technologies, which he said will keep banks relevant.

New research from American Banker finds that the largest banks are the top players in stablecoin issuance and on-chain technology adoption.

Some of the country's largest financial institutions are rolling out stablecoins. With the right strategy, community and mid-tier banks can also reap the benefits of the new payment rail.

The Oklahoma community bank partnered with two digital asset companies to create a cross-border form of tokenized U.S. dollar deposits.

Two reports out earlier this month come to very different conclusions as to the feasibility of public blockchains for finance; the differences matter for global stablecoin adoption.

Senate Banking Committee Chair Tim Scott, R-S.C., said Tuesday that he expects the committee to work out a compromise between banks and crypto firms on yield-like rewards — a major sticking point in a market structure bill — by Friday.

BVNK's technology enables traditional currency and stablecoins to work together, and will enable the card network to improve distribution for clients that use digital assets.

Comptroller of the Currency Jonathan Gould encouraged the audience at a crypto conference Tuesday to weigh in on the agency's GENIUS Act implementation rule and said a separate anti-money laundering proposal from OCC and Treasury would be coming soon.

Noelle Acheson argues that banks' focus on deposit tokens rather than stablecoins is a clear example of the "innovator's dilemma" at work: few economic incentives to embrace the innovation happening at the periphery.

Federal Deposit Insurance Corp. Chair Travis Hill said in a speech Wednesday morning that the agency will move to codify stablecoins as ineligible for deposit insurance — which is required under the GENIUS Act — and that the prohibition likely will include pass-through deposit insurance arrangements.

The Salt Lake City-based regional bank has elevated two executives following the departure of longtime Chief Technology and Operations Officer Jennifer Smith.

Cari has lined up five banks so far to support tokenized deposits for transactions such as real-time payments.

Fintechs and the technology behind cryptocurrency are becoming popular, putting trillions in transaction value at risk for banks, according to Accenture.

Noelle Acheson points out that a wander through stablecoin history highlights an overlooked use case likely to be of interest to financial services providers.

By acquiring the ATM firm, Brink's hopes to expand in retail commerce. Plus, Revolut issues a card to compete with Amex; Standard Chartered has a new payments chief; and more in American Banker's global payments and fintech roundup.

The blockchain technology firm has added new processing tools for digital assets and traditional money, pitching itself as a destination for crypto-curious banks.

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