All posts tagged: stablecoin

Some US Banks Explore Venturing into Crypto with Joint Stablecoin: Report

Some US Banks Explore Venturing into Crypto with Joint Stablecoin: Report

Published by Webster

Some of the biggest US banks are exploring whether to team up to issue a joint stablecoin, The Wall Street Journal reported on Thursday. The conversations have so far involved companies co-owned by JPMorgan Chase, Bank of America, Citigroup, Wells Fargo and other large commercial banks, the report said, citing people familiar with the matter. However, the newspaper said that the bank consortium discussions are in early, conceptual stages and could change. Reuters could not immediately confirm the report. Citigroup, Bank of America and Wells Fargo declined to comment on the WSJ report, while JPMorgan did not respond to a Reuters’ request for comment outside of regular business hours. Stablecoins, a type of cryptocurrency designed to maintain a constant value, usually pegged to a fiat currency such as the US dollar, are commonly used by crypto traders to move funds between tokens. One bank consortium possibility that has been discussed would be a model that lets other banks use the stablecoin, in addition to the co-owners of the Clearing House and Early Warning Services, the …

What is US’ Stablecoin-Focussed GENIUS Act: Everything to Know

What is US’ Stablecoin-Focussed GENIUS Act: Everything to Know

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The US is currently prioritising a stablecoin-focused bill as part of its broader effort to establish a comprehensive regulatory framework for the crypto industry. Known as the Guiding and Establishing National Innovation for US Stablecoins (GENIUS) Act, the proposed legislation seeks to introduce clear guidelines for the issuance and management of stablecoins—cryptocurrencies that are pegged to the value of reserve assets such as fiat currencies or gold. Recently, Senator Elizabeth Warren emphasised the need for stablecoin regulations to prevent private companies from creating their own versions of the US dollar. Earlier this week, the bill was approved by the House Financial Services Committee, advancing it to the House of Senate for the final approval. The crypto industry lauded the development, calling it a milestone moment for the sector’s recognition. Paul Atkins, the chief of SEC’s Crypto Task Force, has shown a strong support to the GENUIS Bill. Atkins, in an interview with CNBC said, “We have every expectation now that it’s going to pass.” As momentum builds around the GENIUS Act, let’s take a closer …

Meta Said to Consider Stablecoin Use for International Creator Payouts

Meta Said to Consider Stablecoin Use for International Creator Payouts

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Meta is exploring the use of stablecoins to manage payouts for international creators, according to a report. Meta CEO Mark Zuckerberg’s firm is said to be in discussions with crypto firms as part of the company’s plans to begin using stablecoins in partnership with a number of crypto firms. For now, these discussions are said to be at a preliminary stage. Stablecoins are crypto assets that are pegged to reserved assets like fiat currencies in a 1:1 ratio. Considered safer than other digital assets in terms of exposure to market volatility, stablecoin values are derived from the underlying assets. Tether (UDST) and Circle (USDC) are two of the largest stablecoins available in the market as of May 9. Meta initiated stablecoins-related discussions with the crypto players earlier this year, according to a Fortune report that cites five unnamed sources aware of the company’s plans. The publication states that the Facebook parent firm is still in “learn mode”. As part of its plans, the company may integrate these stable tokens with Instagram to issue creator payouts …

Trump-Backed USD1 Stablecoin Chosen to Back MGX’s Billion Binance Stake Deal: Report

Trump-Backed USD1 Stablecoin Chosen to Back MGX’s $2 Billion Binance Stake Deal: Report

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The USD1 stablecoin, backed by US President Donald Trump, has been picked as the mode of payment for MGX’s purchase of a minority stake in Binance. The development was reportedly announced by Trump’s 41-year-old son, Eric, at the ongoing Token2049 event in Dubai. Addressing the attendees on Thursday, May 1, Trump claimed that the USD1 is being designed as the most transparent and regulated stablecoin in the world. Its use to facilitate the deal is expected to demonstrate how the USD1 could process instant cross-border transactions soon after its launch. Milestone Moment for Crypto This year, in March, Binance sold its first-ever minority stake for $2 billion (roughly Rs. 17,403 crore) to a third party. With this, MGX, a sovereign wealth management fund from Abu Dhabi, became the first outsider shareholder of Binance. At the time, when Binance founder Changpeng Zhao had announced the development, he had disclosed that the transaction would be “100 percent” facilitated by stablecoins – making it the largest single crypto transaction to date. World Liberty Financial (WLF), the Web3 firm …

Visa Partners Stripe-Owned Bridge to Launch Stablecoin Payment Cards: Details

Visa Partners Stripe-Owned Bridge to Launch Stablecoin Payment Cards: Details

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Visa is hopping aboard the stablecoin hype with its latest partnership with Bridge, a Web3 subsidiary of fintech firm Stripe. The US-based payment cards giant said that developers using Bridge to create their apps can now offer stablecoin-linked Visa cards to their end customers across multiple nations as part of this partnership. Bridge is a developer-first payments company that helps creators juggle between currencies to suit their convenience. Stripe acquired Bridge for $1 billion (roughly Rs. 8,462 crore) in February this year, making this its most significant acquisition so far. Both the companies announced the development on April 30. They said that the main aim of this deal is to introduce stablecoins as legitimate payment options for day-to-day purchases that can be facilitated through cards, mimicking a familiar, traditional method of making transactions. “We’re focused on integrating stablecoins into Visa’s existing network and products in a frictionless and secure way,” said Jack Forestell, Visa’s Chief Product and Strategy Officer. Commenting on the partnership with Bridge, Forestell said, “It represents a significant move in helping to …

Abu Dhabi’s ADQ, FAB and IHC Announce Plans for Dirham-Backed Stablecoin

Abu Dhabi’s ADQ, FAB and IHC Announce Plans for Dirham-Backed Stablecoin

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A group of Abu Dhabi-based institutions on Monday announced plans to launch a stablecoin, pegged to the United Arab Emirates Dirham (AED). The group comprises Abu Dhabi’s ADQ sovereign wealth fund, the First Abu Dhabi Bank (FAB), and investment firm International Holding Company (IHC). The stablecoin will be regulated by the Central Bank of the United Arab Emirates (CBUAE). The group aims to introduce stablecoins into UAE’s payment ecosystems. Key Details About the Stablecoin ADQ announced that the upcoming stablecoin will be promoted as a digital currency that can be used by citizens, consumers, businesses, and institutions. The stablecoin is also expected to support transactions between machines and AI models in the UAE. “As we move forward towards an increasingly digital and connected economy, [the] stablecoin will provide a solution that is secure, efficient, and scalable, while creating new opportunities for growth and value creation,” said Mohamed Hassan Alsuwaidi, ADQ MD and Group CEO, in a prepared statement. The token will be supported on the ADI blockchain, developed by an Abu Dhabi-based non-profit firm called …

PayPal Rewards Programme for PYUSD Stablecoin Holders Launched in Bid to Boost Adoption

PayPal Rewards Programme for PYUSD Stablecoin Holders Launched in Bid to Boost Adoption

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PayPal will start offering rewards to PYUSD stablecoin holders in a bid to boost its adoption and use in the coming months. Bloomberg was first to report on PayPal’s plans, stating that PYUSD users will be able to earn 3.7 percent annually on their holdings once this initiative is rolled out. Later, PayPal CEO Alex Chriss confirmed the development on X (formerly known as Twitter). The US-based online payments giant launched its PYUSD stablecoin in 2023, pegged to the US dollar. The rewards for PYUSD holders will be provided in the form of the stablecoin itself, Jose Fernandez da Ponte, the company’s senior vice president and general manager of blockchain, told Bloomberg. These rewards will be paid to PYUSD holders on a monthly basis. PayPal’s CEO said that the company wants customers to experience the utility scope of stablecoins with the new rewards programme. “Stablecoins have the power to reshape the future of commerce by combining innovation, stability, and accessibility. Now, we’re making PayPal and Venmo the most rewarding way to hold PYUSD. With our …

USDC-Issuer Circle Plans Payment Network to Process Transactions via Stablecoins

USDC-Issuer Circle Plans Payment Network to Process Transactions via Stablecoins

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Circle is planning to launch an international payments network that will allow large corporations to complete settlements via stablecoins. The issuer of the USDC stablecoin released a whitepaper this week detailing possible ways in which stablecoins can upgrade the global payment systems. This system is dubbed the Circle Payments Network (CPN). It has been designed to function as a protocol layer within a digital settlement system with support for stablecoins like USDC, EURC, and more in the future. With the CPN, Circle aims to offer a cross-border payment solution that is cost effective, swift, compliant, and transparent. It could be of significant help to global suppliers, small merchants, content creators, and remittance recipients. “CPN is transparent, secure, scalable infrastructure for financial institutions. Circle has built a rigorous governance framework for CPN that requires participating financial institutions to meet global Anti-Money Laundering and Countering the Financing of Terrorism (AML/CFT) standards, along with economic sanctions requirements,” the US-based company said in its whitepaper. The system will offer billing services, credit services, compliance services, risk and fraud services, …

Circle Says USDC Crosses Trillion Lifetime Transactions Milestone

Circle Says USDC Crosses $18 Trillion Lifetime Transactions Milestone

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Circle, the issuer of the USDC stablecoin, says that the circulation of the digital asset clocked a year-on-year growth of 78 percent. Around November 2024, the company revealed that the monthly transaction volume of the USDC token touched the $1 trillion (roughly Rs. 86,39,270 crore) mark. The company states in a report that since its launch in September 2018, USDC’s volume has touched $18 trillion (roughly Rs. 15,55,21,000 crore) in all-time volume. US-based Circle is headquartered in Boston, Massachusetts. Its USDC stablecoin, pegged against the US dollar, rivals Tether in the stablecoin market. While Tether is touted as the largest stablecoin by market cap, Circle is said to be the second-largest token in the stablecoin space. The holders of USDC can convert fiat-to-crypto, while also having the option to use the tokens to process payments to avoid additional payment charges. According to CoinMarketCap data, 45.76 billion USDC tokens are in currently in circulation. Circle Says Improved Scalability of New Blockchains Accelerated the Adoption of USDC In its report, Circle credits the growing regulatory clarity and …

Stablecoin Issuer Tether Moves Into Tokenising Stocks and Bonds

Stablecoin Issuer Tether Moves Into Tokenising Stocks and Bonds

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Tether Holdings Ltd., the world’s largest digital asset company, is getting into the tokenisation of stocks, bonds, funds and commodities. The platform Hadron by Tether, launched Thursday, will allow users to convert assets into products ranging from stablecoins that are pegged to fiat to digital tokens backed by commodities or other forms of collateral. The British Virgin Islands-registered company is targeting businesses and governments as customers, Tether said in a statement. Turning assets into tokens can allow them to be traded quicker and at a lower cost. The assets can be traded on blockchains by transferring them from one cryptocurrency wallet to another. These potential advantages led Wall Street companies like BlackRock Inc., JPMorgan Chase & Co. and Franklin Templeton to offer tokensed money market and mutual funds over the past couple years. Stablecoins, a form of crypto token pegged to another asset, use reserves to support their value. They are integral to the way crypto markets operate, acting as a less volatile alternative for traders looking to swap between digital assets and to store …