GS, DB, Citi, UBS and other major banks to launch a stablecoin for USD and G7 FX
A group of 21 major financial institutions has committed to establish a new company later this year to develop a bank-backed stablecoin offering, initially focused on the US dollar before potentially expanding into other G7 currencies.
The venture, which remains subject to closing conditions and has yet to be named, is targeting the first half of 2027 to bring its stablecoin solution to market. A euro-denominated stablecoin has been identified as the priority for expansion beyond the initial dollar offering.
The initiative significantly expands the group of 10 banks that announced in October 2025 that they were exploring a 1:1 reserve-backed form of digital money capable of operating on public blockchains.
The enlarged group includes Bank of America, Citi, Goldman Sachs, Wells Fargo, Deutsche Bank, UBS, Santander, Crédit Agricole, MUFG and Standard Bank, alongside investment firms Fidelity Investments and WisdomTree.
The participants say the stablecoins will combine bank-grade compliance and governance with institutional risk management and distribution. Potential applications span wholesale, institutional and retail markets, including cross-border payments and digital asset settlement.
For wholesale markets, the development is another indication that major banks increasingly see stablecoins as potential settlement infrastructure rather than solely as a crypto-market product. The group intends the initiative to comply with the US GENIUS Act and the EU’s Markets in Crypto-Assets Regulation (MiCA), where applicable.
The institutions involved now span North America, Europe, East Asia, the Middle East and Africa. Other participants include Capital One, PNC Financial Services, Scotiabank, TD Bank, BBVA, Commerzbank, Lloyds Banking Group, Rabobank and Sirius International Holding.
