Lucía Peña
Citigroup, the third-largest bank in the United States, is evaluating the possibility of issuing a proprietary stablecoin, according to a report by Reuters. The move is part of the bank’s broader strategy to strengthen its role in the evolving digital payments landscape.
Following an earnings call on Tuesday, CEO Jane Fraser told analysts that the firm is actively looking into launching a “Citi stablecoin”, while emphasizing that tokenized deposits may present a more compelling opportunity for the bank.
“We’re deeply exploring ways to participate in the stablecoin ecosystem — whether through reserve management, custody services, or potentially issuing our own asset,” Fraser said.
Wall Street Giants Race Toward Stablecoin Integration
Citigroup’s interest in stablecoins comes on the heels of similar developments from major competitors. JPMorgan Chase, traditionally wary of crypto, confirmed plans to engage in deposit coins and blockchain-based stablecoin models, including the forthcoming JPMD asset on Coinbase’s Base network.
Meanwhile, DTCC (Depository Trust & Clearing Corporation) is also reported to be developing its own stablecoin solution, highlighting a wider institutional shift toward regulated digital dollar alternatives.
GENIUS Act Spurs Institutional Action
This surge in interest aligns with the ongoing legislative push in the U.S. to formalize stablecoin frameworks. The GENIUS Act, which outlines regulatory foundations for USD-backed stablecoins, recently passed the Senate and awaits further voting in the House.
Though an initial vote in the House failed on Tuesday, President Donald Trump assured that additional support has been secured for a revote expected later today. Trump has been a vocal proponent of strengthening U.S. dollar dominance through the adoption of regulated stablecoins.
Industry Leaders Expect Major Market Impact
Geoffrey Kendrick, Global Head of Digital Assets Research at Standard Chartered, said that stablecoins were the top topic in 90% of his recent meetings with both policymakers and institutional clients across Washington, New York, and Boston.
He forecasted that once stablecoins reach a market cap of $750 billion, they will begin to meaningfully affect traditional financial markets and monetary policies. As of now, the global stablecoin market is valued at $257 billion, according to DefiLlama — with Kendrick projecting it could triple by the end of 2026.
