A group of banks is in the process of exploring the launch of Stablecoins focusing on some of the world’s largest fiat currencies, including the US dollar, euro and Japanese yen.
According to a statement on Friday from BNP Paribas, banks including Bank of America, Goldman Sachs, Deutsche Bank and Citi Says That they launched a project to explore the “release of a 1: 1 supported form of digital currency that provides a stable payment property available in public blockchains” linked to currencies from the group of seven (G7) countries: the United States, Canada, United Kingdom, France, Germany, Italy and Japan.
“The purpose of the initiative is to explore whether a new offer throughout the industry can bring the benefits of digital assets and enhance competition throughout the market, while ensuring full compliance with regulatory requirements and best management management,” the banks said.
The statement does not suggest a timeline for the project, which is likely to face competition from Tether’s USDT (USDT), the largest stablecoin by market capitalization.
https://www.youtube.com/watch?v=ry9MI57PBJS
Among US banks, their efforts are likely to facilitate the recent passage of the Genius Act, a bill to repair payment stablecoins, signed by law By US President Donald Trump in July. Although the law, the genius is not expected to take effect for another 15 months, or 120 days after the US Treasury and Federal Reserve to end regulations around the bill.
Related: Stablecoins will force ‘all’ to share yield: Stripe CEO
Concerns, falling from the Genius Act
Although crypto advocates are more praised Address of loopholes in law That will allow stablecoins that bring interest, allegedly threatening financial stability.
The co-founder of Multicoin Capital and partner’s management, Tushar Jain, said on Saturday That he hopes customers will transfer their bank deposits to higher yield stablecoins as a result of the new law, making tech companies more competitive in financial institutions. However, Circle Chief Strategy Officer Dante Disparte suggested that the language The bill ensures that tech companies and banks will not dominate the Stablecoin market.
In addition to Tether’s USDT, with a market capitalization of more than $ 178 billion at the time of writing, the largest stablecoins included US dollars that pegged USDC (USDC), Dai (Dai), Ethena Usde (Use), Paypal USD (PIUSD), and USD1, the coin launched by Trump supported by the Crypto Company World Liberty Financial.
Magazine: Delayed
