Major US Banks Prepare Stablecoin Launches Following GENIUS Act

Major U.S. financial institutions are preparing to launch stablecoins pegged to the U.S. dollar to prevent fintech competitors from dominating digital payments. Jamie Dimon, CEO of JPMorgan Chase, announced during a July 15 earnings call that the bank will engage with stablecoins to understand the technology, building upon its JPMD deposit token for institutional clients. While Dimon expressed skepticism about the appeal of stablecoins over traditional payments, he emphasized the need for the bank to remain cognizant of how competitors use these tools to access payment systems.

This industry shift follows the Senate's bipartisan 68–30 passage of the GENIUS Act in June, which establishes a federal regulatory framework requiring issuers to maintain one-to-one reserves and undergo monthly audits. The move aligns with the Trump administration's crypto-friendly agenda, with Treasury Secretary Scott Bessent projecting the global stablecoin market could exceed $2 trillion by 2028.

Other institutions are pursuing similar strategies. Citigroup is exploring a Citi stablecoin and tokenized deposits, while Bank of America has confirmed it is actively working on a response to the market. Morgan Stanley is monitoring the landscape to determine how stablecoins would serve its specific client base. Reports suggest JPMorgan, Bank of America, Wells Fargo, and Citigroup may collaborate to issue a joint coin, though definitive launch timelines remain pending final legal clarity from the House of Representatives.