Twenty-one of the world’s largest financial institutions have formally committed to forming a company that will issue a U.S. dollar stablecoin, targeting a launch by the first half of 2027. G
Twenty-one of the world’s largest financial institutions have formally committed to forming a company that will issue a U.S. dollar stablecoin, targeting a launch by the first half of 2027. Goldman Sachs, Bank of America, and Citi anchor the consortium, according to a joint statement published on Tuesday 1 September. The company has no name yet, and its formation, planned for the second half of 2026, remains subject to closing conditions.
The distinction matters. A central bank digital currency would be issued by the Federal Reserve itself and carry the central bank’s balance sheet as its backing. What these institutions are describing works the other way round. The token would be issued by a private company the banks own between them, redeemable against reserves those banks hold on their own books, with no central bank obligation attached to it at any point.
