21 major banks plan joint dollar stablecoin for 2027

Twenty-one global financial institutions announced on Tuesday that they plan to form a new company in the second half of 2026 to issue a US dollar-denominated stablecoin, with a target market launch in the first half of 2027.reuters+1

The consortium includes Goldman Sachs ↗ 3.34%, Bank of America ↗ 0.70%, Citi Citigroup Inc. ↗ 2.83%, Deutsche Bank ↗ 2.62%, Wells Fargo ↘ 0.09%, UBS ↗ 1.42%, BBVA Banco Bilbao Vizcaya Argentaria, S.A. ↗ 1.65%, Capital One ↗ 1.80%, PNC Financial Services The PNC Financial Services Group, Inc. ↗ 1.12%, Lloyds Banking Group, and others spanning North America, Europe, East Asia, the Middle East, and Africa.bbva

From 10 Banks to 21

The initiative was first announced in October 2025, when 10 global systemically important banks began exploring the issuance of a reserve-backed digital currency on public blockchains. The expanded group now includes 17 G-SIBs plus four other institutions, among them US asset managers Fidelity Investments and WisdomTree ↗ 4.76%, Abu Dhabi-based Sirius International Holding, and South Africa's Standard Bank ↘ 1.57%.ledgerinsights+2

Both Fidelity and WisdomTree already issue their own stablecoins — Fidelity launched its FIDD token in January, and WisdomTree issues USDW under its New York trust charter — suggesting the industry has concluded that no single institution's coin can achieve sufficient network effects on its own.ledgerinsights

Use Cases and Competition

The group said in a joint statement that it intends to start with a USD stablecoin before expanding into other G7 currencies, with a euro-denominated offering as the next priority. The token will target wholesale, institutional, and retail markets, covering use cases including cross-border payments and digital asset settlements.bbva

The venture intends to comply with the US GENIUS Act and the EU's Markets in Crypto-Assets regulation, as applicable.bbva

The consortium enters a crowded field. The stablecoin market is dominated by Tether, which says it has issued more than $180 billion worth of its dollar-pegged token. A rival group of 37 financial institutions has formed Qivalis and plans to launch a euro-pegged stablecoin later this year. And early bank experiments have gained little traction — Societe Generale Société Générale S.A. became the first major bank to issue a dollar-backed stablecoin through its digital asset subsidiary last year, but only about $12.5 million is in circulation.outlookbusiness+1

Regulatory Headwinds

European Central Bank President Christine Lagarde has warned that privately issued stablecoins pose risks for monetary policy and financial stability. The banking group's announcement comes as several jurisdictions, including Singapore, move to tighten stablecoin regulation. The company's name has not yet been disclosed.reuters+2