US Banks Plan to Launch a Joint Stablecoin 💵
The Wall Street Journal reports that JPMorgan, Bank of America, Wells Fargo, Citigroup, and other major banks are discussing the launch of a shared digital dollar. 🏦
Payment system developers like Zelle and The Clearing House are also taking part in the talks. 🔄
Here are the key points:
Participants: JPMorgan, Bank of America, Wells Fargo, Citigroup, and others, alongside payment platforms like Zelle and The Clearing House. 🤝
Goal: To create a unified stablecoin pegged 1:1 to the US dollar, initially aimed at interbank settlements and possibly retail payments later. 🪙
Technology: The stablecoin is expected to operate on a private blockchain or a shared platform among banks. 🔐
Motivation: Competing with existing crypto initiatives (e.g., USDC, PayPal USD), and enhancing the speed and reliability of transactions, especially within frameworks like FedNow. ⚡
This project could act as a “private sector digital dollar”, separate from any initiative by the US Federal Reserve. 🇺🇸
