Twenty-one of the world’s largest financial institutions have agreed to establish a US dollar stablecoin issuing company. The alliance announced Tuesday places Goldman Sachs, Bank of America, and Citi at the helm of the project.
The consortium spans institutions from five different regions. From North America, the founding lineup includes Capital One, Fidelity Investments, PNC, Scotiabank, TD Bank, Wells Fargo, and WisdomTree. Europe is represented by eight entities comprising Santander, BBVA, Commerzbank, Crédit Agricole, Deutsche Bank, Lloyds, Rabobank, and UBS. East Asia, the Middle East, and Africa round out the roster with the inclusion of MUFG Bank, Sirius International, and Standard Bank.
The joint venture has not yet received an official name. The formation of the entity is scheduled to be completed in the second half of 2026, subject to final closing conditions. The US dollar stablecoin token is targeted to launch in the first half of 2027. Following the release of the US dollar version, the consortium plans to launch a euro-denominated stablecoin.
A Private Alternative to CBDCs
The stablecoin product represents a purely private liability of a commercial enterprise, rather than a central bank digital currency or CBDC. Washington is positioning private bank-issued stablecoins as an alternative to CBDCs, which were banned by President Trump through an executive order in January 2025.
The token is designed to directly serve three market tiers simultaneously: wholesale, institutional, and retail. The entity is targeting cross-border payments and digital asset settlement as its initial rollout applications. To meet regulatory standards, the stablecoin architecture is structured to comply with the GENIUS Act in the United States and the MiCA regulatory framework in the European Union.
JPMorgan Absent, Established Competitors Await
Notably missing from the roster of founders is JPMorgan, which is not listed among the 21 consortium institutions despite earlier reports that it would participate. The consortium has offered no official explanation regarding JPMorgan’s absence from the final agreement.
The planned 2027 launch will face competition from Circle, the issuer of USDC, which currently holds backing from Visa, Mastercard, and Stripe through the Open USD ecosystem. On the domestic front, the consortium will also have to contend with the BankChain Alliance, a coalition representing 39 state-level banking groups.
Boston Consulting Group and Brunswick Group are currently serving as project advisors, drafting initial proposals without holding binding legal authority over the consortium.
Coordinating dozens of traditional banks across continents frequently runs into internal bureaucratic friction. Time will tell whether this coalition can deliver the token on schedule and capture market share from established crypto-native players.
Source: Decrypt.
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