Goldman, Citi and Ot...

Goldman, Citi and Others Race Into Stablecoins with Plan to Launch in 2027

By José Oramas September 02, 2026 In Citi, Goldman Sachs, Stablecoins

Twenty-one institutions, including Goldman Sachs, Bank of America, Citi, Deutsche Bank, UBS and Fidelity Investments, said on Sept. 1 they will form a company in the second half of 2026 to issue a US dollar-denominated stablecoin, aiming for a first-half 2027 launch.
The group has grown from the ten banks that first floated the idea in October 2025, and plans to expand later into other G7 currencies, naming a euro version as its next priority.
It enters a market Tether still dominates with more than US$180 billion (AU$252 billion) in dollar-pegged tokens, and where bank demand is thin: Société Générale’s dollar stablecoin holds about US$12.5 million (AU$17.5 million) in circulation.

At least 21 of the world’s largest banks and asset managers, among them Goldman Sachs, Bank of America and Citi, announced they will form a company to issue a joint US dollar stablecoin, targeting a launch in the first half of 2027.

The yet-unnamed company is due to be established in the second half of 2026, subject to closing conditions. The consortium spans 21 institutions across five regions. It intends to comply with the US GENIUS Act and Europe’s MiCA rules where they apply.

The effort builds on an October 2025 statement, when ten banks said they were exploring a 1:1 reserve-backed form of digital money on public blockchains. The stablecoin is meant for wholesale, institutional and retail use, including cross-border payments and digital asset settlement.

The group will focus first on the dollar, then move into stablecoins denominated in other G7 currencies, with the euro as its stated priority. US banks have broadly moved into stablecoins since the GENIUS Act, the country’s law for the tokens, was enacted last year.

A Market Tether Still Owns

The banks are moving into a market Tether continues to dominate, with more than US$180 billion (AU$252 billion) in dollar-pegged tokens outstanding on its own reporting and billions in profit from holding its reserves in US Treasuries.

Demand for bank-issued stablecoins has so far been limited. Société Générale’s dollar stablecoin, issued through its digital-asset arm last year, has drawn only about US$12.5 million (AU$17.5 million) in circulation.

Tether chief executive Paolo Ardoino has conceded that US banks could outperform his firm early in the American market.

A separate group is already chasing the euro. Qivalis, a European bank consortium, is building a MiCA-compliant euro stablecoin for the second half of 2026 and has grown to 37 members, with some banks, including BBVA, in both efforts. It formed last year with far fewer lenders.

European Central Bank President Christine Lagarde has warned that privately issued stablecoins pose risks to monetary policy and financial stability.