Big Banks Are Betting on Stablecoins

Several of America's largest banks - including Bank of America, Citigroup, JPMorgan Chase, and Morgan Stanley - are laying the groundwork to launch their own stablecoins, signaling a new phase in the mainstream adoption of digital finance.

Bank of America CEO Brian Moynihan confirmed the bank is actively working on a stablecoin project. While there's no timeline yet, he suggested the bank could move forward in partnership with others once demand and regulations align. Citigroup's CEO, Jane Fraser, also revealed the bank is exploring a "Citi stablecoin" to enhance digital payments.

Stablecoins are cryptocurrencies pegged to fiat currencies like the U.S. dollar, offering price stability and utility for digital transactions. Although traditionally popular with crypto traders, their use may soon extend deeper into consumer banking.

The momentum comes as the U.S. edges toward a clearer regulatory framework for digital assets. A new bill aimed at defining how stablecoins can be issued and regulated is expected to move forward in Congress soon, with support from President Donald Trump, who has embraced the label of "crypto president."

JPMorgan Chase, which has previously launched its own digital token, and Morgan Stanley are also monitoring the developments closely. "We're going to be involved in both JPMorgan deposit coin and stablecoins to understand it, to be good at it.", said Jamie Dimon, JPMorgan CEO, during the bank's second-quarter 2025 earnings call. The shift reflects growing confidence that digital currencies will become a more accepted part of traditional finance.

For now, banks are proceeding cautiously, waiting on legal clarity and watching for signs of consumer demand. But the message is clear: Wall Street is warming up to crypto, and stablecoins may be its entry point.