Some of America’s largest banking companies are allegedly searching for a team-up to launch a crypto stabechoin.
Companies owned by JP Morgan, Bank of America, Citygroup and Wales Fargo have jointly discussed the possibility of releasing a Streetcoin the Wall Street Journal Informed On 22 May, citing people familiar with the matter.
Other financial institutions associated with potential stabechoin include early warning services, the original company of the digital payment network Zel and the payment network clearing house.
Discussions are still in the early stages, and a final decision on the project may change based on the demand for regulatory environment and stabechoin.
JP Morgan spokesperson told Cointeletgraph that there was no comment from the company. Bank of America, Citigroup and Wales Fargo did not respond to the recommendations of immediate comments.
On May 20, US Senate voted in favor of 66-32 further discussion Establishment of National Innovation on Stabelcoin-Regulating Guiding and US Stabelines (Genius) Act.
The bill underlines a regulatory structure for stablecoin collateation and compulsory compliance with anti-mani laundering laws. The bill is now leading to debate the Senate floor.
Earlier this week, White House Crypto Caesar David Sachs said Bill expects It will be passed and it will receive bilateral support.
However, high-ranking Democrats plan Amend the bill To include a section prohibited from giving profits from Stabecoin to President Donald Trump and other US authorities.
Trump and his family launched the Crypto Platform World Liberty Financial, which slammed the USD1 StableCoin in March. Critics argue that President Trump Personally stands for profit By passing favorable stabelcoin regulation.
Connected: World Liberty Financial Brush Oversite concerns with Congress
Stabelcoin demand increase
Demand for StableCoins is increasing, with institutions wishing to adopt nation state and include stabecoin to institutions.
Total market capitalization of stablecoins has shot $ 245 billion From $ 205 billion at the beginning of the year, represents an increase of 20%.
Earlier this week, it was reported that Yield Now for about 4.5% of the entire StableCoin market, with a circulating supply of $ 11 billion.
Austin Campbell, Professor and founder of Zero Knowledge Consulting, New York University, said the American banking lobby is “Panicing”, as Can interrupt traditional Banking Business Model.
Earlier this month, it was reported that Tech is a meta. Explore Ways to include stablecoin payments in your platforms.
Magainze: Crypto wanted to overthrow banks, now it is making them in Stabecoin fight
