The largest US banks, including JPMorgan Chase, Bank of America, Citigroup and Wells Fargo, are the first conversations to develop joint stabrocoin, according to sources familiar with the issue.
The project is trying to counter the growing competition in the cryptocurrency industry, led by stable currencies such as USDT. It positions traditional institutions in a rapid evolutionary market.
The discussion, even at the conceptual stage, includes entities such as early warning services, Zelle operators, and clearinghouses, a network of actual payments, reports the Wall Street Journal. However, the final decision It depends on the evolution of legislation regarding stubcoins And the projected demand for this digital asset.
The interest of major US banks in issuing Stablecoin corresponds to the need to adapt to the financial panorama where cryptocurrencies gain the ground. Under Donald Trump’s presidency, A bigger adoption of stubcoin is expectedbypass traditional bank deposits and transactions, especially when large technology or retailers enter the market.
JP Morgan Chase, Bank of America, Citigroup y Wells Fargo They are considered stakeholders with significant financial management worldwide Due to its large scale, influence and central role in the economic system. These institutions manage billions of dollars of assets and usually affect how they make economic and political decisions.
In the following image, taken from Wikipedia’s online encyclopedia, it is observed that these entities are one of the largest banks in the world.
Financial entities value their stablecoins These allow for accelerated processes such as cross-border paymentstraditional banking systems can take several days. For example, decentralized networks can be used to complete international relocations that require multiple intermediaries in minutes, reducing costs and increasing efficiency in profitable banks.
Stablecoins, known as digital dollars, are cryptocurrencies designed to maintain stable value and are generally linked one by one with Fíat coins, such as US dollars, backed by cash reserves or liquid assets such as Treasure Bond.
Currently, the Stablecoins market is dominated by USDT (Tether), with a market capitalization of over $150 million. USDT accounts for approximately 63% of the Stablecoins marketa major option for transactions in cryptocurrency exchanges, value storage, and cross-border payments. Its advantage comes from its liquidity, wide acceptance and ease of use, but it faces criticism due to its lack of transparency in its reserves.
This Defillama graph shows the USDT advantage level in the Stablcoins ecosystem.
Does a genius support the project?
However, the debate is early on, and banks face obstacles such as skepticism about the security of stable and regulatory implications for operating on digital assets. Furthermore, the legislative framework for stubcoins remains uncertain. Although recent advances suggest a more favorable environment.
The US Senate took a step forward this week by overcoming obstacles to the process of Genius Act, a project that establishes a regulatory framework for the issuance of stubcoins by banks and non-boundary groups.
As reported by Cryptootics, the latest version of the law Limitations for non-financial companies to release stubcoinsAlthough it’s not completely banned, as the banks were looking for.
This legislative development We were able to pave the way for the banking consortium projectbanks still assess whether demand is sufficient to justify investments in initiatives such as stablecoin.
Intent to launch stubcoin by major banks around the world; Marks the approach between traditional finance and cryptocurrency ecosystemsa link that seemed unlikely two years ago after strong regulatory controls by previous US authorities.
The fact that bank giants can issue their own stubcoins reflects the perception that cryptocurrencies are not a trend that passes through, But potential technology to convert payment systems.
