Global Banking Giants Unite to Develop G7-Backed Stablecoin on Public Blockchain
A coalition of major international banks—including Banco Santander, Bank of America, Barclays, BNP Paribas, Citi, Deutsche Bank, Goldman Sachs, MUFG Bank, TD Bank Group, and UBS—has announced a joint initiative to explore the creation of a global stablecoin tied to G7 currencies.
According to a statement released by BNP Paribas, the consortium plans to investigate a “1:1 reserve-backed form of digital money” built on a public blockchain. The move signals a significant shift in traditional finance, as leading institutions look to harness the benefits of blockchain technology while maintaining regulatory integrity.
“The objective of the initiative is to explore whether a new industry-wide offering could bring the benefits of digital assets and enhance competition across the market, while ensuring full compliance with regulatory requirements and best practice risk management,” the statement read.
Stablecoins—cryptocurrencies pegged to stable assets such as the U.S. dollar, euro, or yen—have evolved far beyond their roots in crypto trading. Initially used as a bridge for exchanging digital assets without relying on traditional banking systems, they’ve now entered the global financial spotlight. Tech giants like Meta and Amazon, as well as major financial institutions such as Bank of America, have already shown interest in launching their own tokens.
This development comes on the heels of growing regulatory clarity. In July, U.S. President Donald Trump signed the GENIUS Act, a landmark law establishing a framework for the issuance and trading of stablecoins in the United States.
Analysts at Standard Chartered recently projected that stablecoins could attract up to $1 trillion in deposits from banks in emerging markets within three years—a prediction that underscores the disruptive potential of digital fiat alternatives.
If the project moves forward, a G7-backed stablecoin could become one of the most significant collaborations between legacy finance and blockchain technology, potentially reshaping how global payments are made.