US big banks hold early talks on joint crypto stablecoin: WSJ
Major US banking companies, including JPMorgan, Bank of America, Citigroup, and Wells Fargo, are in discussions to jointly issue a crypto stablecoin. Other involved entities include Early Warning Services and the Clearing House. These talks are preliminary and may be influenced by regulatory conditions and market demand for stablecoins. The US Senate recently voted to advance the GENIUS Act, which aims to regulate stablecoin collateralization and enforce Anti-Money Laundering compliance. The bill is expected to receive bipartisan support but may be amended to prevent certain officials from profiting from stablecoins. Demand for stablecoins has increased significantly, with market capitalization rising to $245 billion. Yield-bearing stablecoins now represent 4.5% of the market. Concerns have emerged within the banking sector regarding the potential disruption stablecoins pose to traditional banking models.
