Global Banks Form Consortium to Launch Dollar Stablecoin

A consortium of 21 financial institutions, including Goldman Sachs, Bank of America, Citi, and Deutsche Bank, plans to establish a company this year to launch a US dollar-pegged stablecoin in the first half of 2027. The group, which grew from 10 members in October 2025, intends to eventually issue stablecoins pegged to other G7 currencies, with the euro as a priority.

This initiative is part of a broader effort by United States banks to counter the growth of private stablecoins like USDT and USDC. Institutions fear that a shift toward blockchain-based corporate settlements will erode deposit bases and fee-based revenue. In addition to the 21-member consortium, more than a dozen other banks, including Wells Fargo, are discussing shared infrastructure for digital currencies. JPMorgan is also considering a stablecoin to complement its existing JPM Coin tokenized deposit system.

The movement creates a three-way competition for international payments between private stablecoins, bank-issued assets, and future central bank digital currencies. The consortium faces immediate competition from Qivalis, a 37-institution group planning a euro-pegged stablecoin later this year, and World Liberty Financial. However, European Central Bank President Christine Lagarde has warned that privately issued stablecoins could threaten financial stability and monetary policy.