Azernews.Az

By Alimat Aliyeva

Several major American banks are in early-stage talks to create a joint stablecoin—a digital currency pegged to the value of the U.S. dollar, Azernews reports.

JPMorgan Chase, Bank of America, Citigroup, and Wells Fargo are reportedly involved in the discussions. The goal of the project is to accelerate financial transactions, particularly international transfers, which currently can take several days to process through traditional banking systems.

U.S. credit institutions are increasingly concerned that without a unified stablecoin, they risk losing ground in the rapidly evolving digital asset market. As decentralized finance (DeFi) and private stablecoins such as USDC and USDT continue to grow in popularity, banks are seeking ways to remain relevant and competitive.

No final decision has been made yet. According to sources, the outcome will largely depend on customer demand for such a digital currency and on the direction of future legislation and regulatory frameworks in the United States.

Interestingly, this isn’t the first time U.S. banks have explored blockchain-based solutions. JPMorgan already operates its own digital token, JPM Coin, used for internal settlements between institutional clients. A joint stablecoin backed by multiple major banks could mark a significant shift toward collaborative innovation in traditional finance, and could also serve as a bridge between centralized banking and decentralized finance models.

If implemented, such a stablecoin could reshape how money moves across borders, potentially reducing costs and settlement times for businesses and individuals alike.