Twenty-one major global financial institutions are moving to jointly establish a stablecoin issuer.

On Sept. 1, blockchain outlet Cointelegraph reported they plan to launch a U.S. dollar-based stablecoin in the first half of 2027 through the creation of a new company.

The consortium includes Bank of America (BoA), Goldman Sachs, Citi, Deutsche Bank, UBS, Santander, MUFG and Fidelity Investments. The launch schedule is subject to completion of the company’s establishment and fulfillment of other conditions.

The key is that traditional financial institutions will jointly pursue a digital dollar business in step with the timing of a clearer regulatory framework. They will focus first on a dollar stablecoin and later expand to products based on other G7 currencies. A euro stablecoin was presented as the next priority.

The stablecoin targets not only inter-institution transactions but also the consumer market. Suggested use cases include cross-border payments and digital asset payments. The business structure is to be designed to comply, where applicable, with the U.S. GENIUS Act and the European Union’s Markets in Crypto-Assets regulation (MiCA).

The project is an extension of an initial concept disclosed in October last year. At the time, 10 banks said they were reviewing 1-to-1 reserve-backed digital money that could be used on public blockchains. The number of participating institutions has since more than doubled, with financial institutions joining from North America, Europe, East Asia, the Middle East and Africa.

Market conditions have also changed. The stablecoin market has grown quickly in recent years, and the passage of the U.S. GENIUS Act and MiCA has made the path into the regulated system clearer.

Institutional demand has also already been confirmed. In a survey conducted by Fireblocks in early 2025 of 295 executives, 90 percent of respondents said they were using stablecoins or planned to use them.

Moves by major financial institutions are also continuing. Societe Generale’s crypto subsidiary issued euro- and dollar-based stablecoins, and Fidelity recently launched a dollar-linked stablecoin, FIDD. Last month, Standard Chartered supported a Hong Kong dollar stablecoin business.

Regulatory discussions in various countries are also moving in parallel. Singapore is reviewing a plan to include, within its regulatory framework, a cross-border stablecoin issued through a joint-issuance model. This is a move to revisit a previous direction that allowed issuance only domestically.

As a result, the joint project is increasingly likely to proceed in tandem with a trend in which banks seek to incorporate stablecoins into payments and settlement infrastructure, beyond simply launching a new product. Whether the G7 currency expansion plan, including the euro, will follow the dollar product launch, and how consistently the project will meet U.S. and European regulatory requirements, are key points to watch.