Stablecoins
How are banks approaching dollar-backed digital assets (stablecoins)?
Stablecoins have moved from the edge of the
Banks are testing stablecoins for cross-border payments, liquidity management, and digital wallets. Some are also exploring how stablecoins can support interbank transactions or be issued directly by regulated institutions. As the landscape takes shape, stablecoins are starting to look less like an experiment and more like infrastructure.
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The bank's Kinexys blockchain unit processes a fraction of the institution's overall payment volume. It's betting that an appetite for the technology's promise of speedy processing and liquidity will make that larger.
January 5 -
The real value of stablecoins lies in their ability to provide instant and secure transfers of value. But, in a world where every company has a bespoke stablecoin, that promise begins to break down quickly.
January 5
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Visa and Mastercard logged increases in holiday spending, an industry group called for increased BNPL regulation in the U.S., and more in this week's global payments roundup.
December 31 -
As stablecoins become an increasingly prominent feature of the financial landscape, Noelle Acheson gives us her top five trends to watch out for.
December 30 -
Banks are beginning to engage with decentralized financial infrastructure. But until lawmakers create a foundation for allowing legally recognized entities like LLCs and nonprofits to govern these networks, compliance burdens will hinder full adoption.
December 26
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The Federal Deposit Insurance Corp. has made big changes in 2025, including cutting headcount, walking back Biden-era rules and guidance and resetting the agency's approach to emerging technologies and crypto.
December 24 -
Noelle Acheson shares her top 4 stablecoin trends of 2025 and what they taught us about the changing nature of money.
December 23 -
The cryptocurrency company has entered partnerships with big banks and payment giant Klarna in recent days. Coinbase exec Brett Tejpaul says the GENIUS Act is creating an opportunity to sell a broad range of digital asset technology.
December 22 -
Banks are unlikely to get the language of the GENIUS Act amended to better defend deposits. But Noelle Acheson explains how that doesn't mean they won't get what they want.
December 18 -
The Financial Services Forum, which represents the largest U.S. banks, formed a new 501(c)(4) advocacy group to amplify big banks' policy preferences, a move that could counter the crypto industry's growing political influence.
December 17
The first three months of the year coincide with the start of President Donald Trump's second term in office. Investors are likely to be more interested in banks' outlooks amid swings in tariff policy than the first-quarter results.
Frequently Asked Questions:
How are banks approaching dollar-backed digital assets (stablecoins)?
Stablecoins have moved from the edge of the crypto, world to the center of policy and banking conversations. As regulators and banks weigh their role in payments, settlement, and reserves, this page follows the developments — from early pilots to proposed legislation.
Banks are testing stablecoins for cross-border payments, liquidity management, and digital wallets. Some are also exploring how stablecoins can support interbank transactions or be issued directly by regulated institutions. As the landscape takes shape, stablecoins are starting to look less like an experiment and more like infrastructure.
Why are banks paying attention to stablecoins?
Stablecoins are increasingly viewed as a potential upgrade to legacy payments systems. Banks are evaluating them for settlement, remittances, cross-border transactions, and tokenized deposit models.Are banks issuing their own stablecoins?
Some are exploring the option. Institutions like JPMorgan (with JPM Coin) and new entrants like PayPal are piloting bank-issued stablecoins, while others are watching regulatory developments before moving forward.How do stablecoins impact compliance and risk?
Issues include KYC/AML enforcement, cybersecurity, operational risk, and how reserve assets are held and reported. Banks exploring stablecoin activity must weigh both technological benefits and regulatory scrutiny.How are regulators responding to stablecoin innovation?
Congress is debating stablecoin-specific bills focused on reserve backing, issuer licensing, and oversight. The Federal Reserve, OCC, and state regulators are also shaping how bank involvement in stablecoin activity is supervised.How are banks using stablecoin?
Banks are using stablecoins to speed up cross-border payments, manage liquidity across global branches in real time, and test new forms of settlement between institutions. Some are integrating stablecoins into retail-facing digital wallets, while others are exploring interbank networks built on tokenized payments. These efforts are less about crypto speculation and more about making money move faster, with greater transparency and fewer intermediaries.- Real-time cross-border payments
- Internal liquidity management
- Retail-facing digital wallets
- Interbank tokenized payment networks
Top banks investing in stablecoin
List of institutions with greatest investment in stablecoin:- JPMorgan Chase – JPM Coin
- Custodia Bank – Avit Tokens
- Citigroup - Citi Token Services
- Societe Generale - USD CoinVertible
- Bank of America - Name yet to be released
- Fifth Third - Name yet to be released
- U.S. Bancorp - Name yet to be released











