Major U.S. Banks Join Forces on Stablecoin Initiative—JPMorgan, Citibank, and More Involved
The post Major U.S. Banks Join Forces on Stablecoin Initiative—JPMorgan, Citibank, and More Involved appeared on BitcoinEthereumNews.com. The GENIUS Act’s Senate approval signals growing regulatory support, potentially enabling banks to enter the stablecoin market. The initiative aims to launch stablecoins secured by real assets, contingent on regulatory clarity from the GENIUS Act’s progress in Congress. Some top American banks are in favor of forming a partnership to develop and release stablecoins. Sources on this subject say this decision would bring these institutions and ventures directly against already established digital asset firms in the growing stablecoin industry. JPMorgan, BofA, Citibank To Work With Stablecoins According to reports, the ones leading the potential venture include JPMorgan Chase, Citibank, Bank of America and Wells Fargo. Many other major players in commercial banking are backing the effort, such as the Clearing House and Early Warning Services, the company that operates the Zelle payment network. Even as the consortium is in its preliminary phase, it plans to release stablecoins secured with real assets. People inside the industry believe that demand from users and strong regulations will play a key role in the venture’s future. For now, the project is just speculation since American banking giant are still waiting for clear laws on stablecoins. That objective is close to being achieved, judging from the good news coming from Capitol Hill lately. The Senate voted 66 to 32 this week, approving a step forward for the GENIUS Act, a proposal to oversee stablecoins. If the bill becomes law, it would give banks the legal foundation they need to take part in stablecoins. Moreover, an increasing number of mainstream financial companies are becoming interested in stablecoins that maintain a 1:1 value with fiat currencies like the U.S. dollar. Institutions are drawn to them for how smoothly and low-cost they make online payments that cross country borders, where banks often take much longer and charge more.…
The post Major U.S. Banks Join Forces on Stablecoin Initiative—JPMorgan, Citibank, and More Involved appeared on BitcoinEthereumNews.com.
The GENIUS Act’s Senate approval signals growing regulatory support, potentially enabling banks to enter the stablecoin market. The initiative aims to launch stablecoins secured by real assets, contingent on regulatory clarity from the GENIUS Act’s progress in Congress. Some top American banks are in favor of forming a partnership to develop and release stablecoins. Sources on this subject say this decision would bring these institutions and ventures directly against already established digital asset firms in the growing stablecoin industry. JPMorgan, BofA, Citibank To Work With Stablecoins According to reports, the ones leading the potential venture include JPMorgan Chase, Citibank, Bank of America and Wells Fargo. Many other major players in commercial banking are backing the effort, such as the Clearing House and Early Warning Services, the company that operates the Zelle payment network. Even as the consortium is in its preliminary phase, it plans to release stablecoins secured with real assets. People inside the industry believe that demand from users and strong regulations will play a key role in the venture’s future. For now, the project is just speculation since American banking giant are still waiting for clear laws on stablecoins. That objective is close to being achieved, judging from the good news coming from Capitol Hill lately. The Senate voted 66 to 32 this week, approving a step forward for the GENIUS Act, a proposal to oversee stablecoins. If the bill becomes law, it would give banks the legal foundation they need to take part in stablecoins. Moreover, an increasing number of mainstream financial companies are becoming interested in stablecoins that maintain a 1:1 value with fiat currencies like the U.S. dollar. Institutions are drawn to them for how smoothly and low-cost they make online payments that cross country borders, where banks often take much longer and charge more.…
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