The main US banks are weighing the launch of a joint stable to defend themselves against cryptographic competition.
Financial heavyweights such as JPMorgan Chase (JPM), Bank of America (BAC), Citigroup (C) and Wells Fargo (WFC) have maintained a discussion on the subject, reported the Wall Street Journal, citing people familiar with the matter. The conversations are still in the early stages and could change, the report added.
Within the consortium there are also payments owned by these banking powers, such as early alert services, which Zelle directs, and the compensation house, which manages payments in real time.
The stables are cryptocurrencies linked to the value of another asset such as a fiduciary currency or merchandise, they can resolve transactions in seconds. Banks see the potential in them to improve their operations, and international remittances currently take days through the traditional system.
A floated idea in the conversations of the consortium is a stablecoin model open to other banks beyond the central group. Regional banks have also explored similar roads, adds the WSJ, citing familiar sources with discussions.
The thrust occurs when Washington is directed towards regulation. The Senate recently advanced the National Innovation Law for National Innovation for the United States (Genius), that Senator Hagerty (R-TEN) described as one that “establishes the first regulatory framework pro-recess for payment prints.”
The improved regulatory environment has seen cryptographic companies seek bank chart, adding even more pressure to banks.
Some of these great financial institutions have already made their movement. Société Générale launched a stablecoin, EURCV called Euro, in 2023 through its crypt SG Forge arm. According to reports, now also seeks to launch a US dollar stable.
Read more: the approval of the United States Law School Stable could trigger a long -term long -term crypto market: Bitwise
