21 major banks including Goldman Sachs and Citi plan to issue dollar stablecoin in 2027

A consortium of 21 major financial institutions, including Goldman Sachs, Bank of America, Citi, and Deutsche Bank, announced plans to form a company to launch a dollar-pegged stablecoin in the first half of 2027. The group aims to expand into G7 currencies, prioritizing the euro. The project faces stiff competition from dominant issuers Tether and Circle, as well as rival bank networks, amid warnings from European Central Bank President Christine Lagarde regarding risks to monetary policy.

Bank consortium stablecoin launch

• ▪The 21-member consortium includes North American firms Wells Fargo, Capital One, PNC Financial Services, Scotiabank, TD Bank Group, Fidelity Investments, and WisdomTree, alongside European and global institutions.
• ▪A group of 21 financial institutions, including Goldman Sachs, Bank of America, Citi, and Deutsche Bank, announced plans on September 1, 2026, to form a company to issue a dollar-pegged stablecoin in the first half of 2027.
• ▪The bank consortium plans to establish the unnamed stablecoin company in the second half of 2026, subject to closing conditions, with Boston Consulting Group and Brunswick Group acting as advisors.
• ▪The bank consortium intends for its stablecoin to be compliant with the U.S. GENIUS Act and the European Union's Markets in Crypto-Assets (MiCA) regulations.

Competition with existing issuers

• ▪Spanish bank BBVA holds memberships in both the 21-bank dollar stablecoin consortium and the 37-member Qivalis euro stablecoin consortium.
• ▪The bank consortium will compete with Qivalis, a separate consortium of 37 financial institutions that plans to launch a euro-pegged stablecoin in late 2026.
• ▪The stablecoin market is dominated by Tether, which has issued over $180 billion of its dollar-pegged token, and Circle, which has about $73.6 billion of its USDC token in circulation.
• ▪Citi, Bank of America, and Wells Fargo are also backing a tokenized deposit network planned by The Clearing House for the first half of 2027 as an alternative to stablecoin reserves.

Limited bank stablecoin adoption

• ▪Despite the entry of major financial institutions, there are currently few signs of market demand for stablecoins issued directly by banks.
• ▪Societe Generale became the first major bank to issue a dollar-backed stablecoin through its digital asset subsidiary in 2025, but the token has seen limited adoption with only $12.5 million in circulation.

Central bank stability concerns

• ▪A rebound in cryptocurrency prices in 2024 and U.S. President Donald Trump's support for the sector have revived mainstream financial interest in utilizing blockchain technology.
• ▪European Central Bank President Christine Lagarde has warned that privately issued stablecoins pose risks to monetary policy and financial stability.

G7 currency expansion plans

• ▪The bank consortium plans to expand its stablecoin offerings into other G7 currencies, prioritizing a euro-pegged version after the initial dollar stablecoin launch.
• ▪The bank consortium's project, which originally involved 10 banks when first announced in October 2025, has more than doubled its membership to 21 institutions.