A Major Movement in Cryptocurrency
A major movement is taking place with the GENIUS Act receiving significant support in the US Senate, bringing leading banks into blockchain. JPMorgan Chase, Wells Fargo, Bank of America, and Citigroup are discussing launching a joint stablecoin. With White House support during the Trump administration, it is an appropriate time for the $243 billion stablecoin market to face significant changes.
The Combination of Banking Giants
This project also involves Zelle and the Clearing House's real-time payment network. The goal is to develop a stablecoin managed and secured by banks, competing with Tether and Circle. Tether's USDT currently dominates with $152 billion, but bank-issued stablecoins could change the market through trust and regulatory compliance.
Trust and Liquidation Could Redefine DeFi
Cryptocurrency users are paying attention to this. A stablecoin from major US banks could succeed in terms of trust and liquidation. This could bring stability and primary appeal. However, the risk is that the open and decentralized space might become centralized.
A Shock in the Cryptocurrency Market
If major US banks issue a joint stablecoin, there will be significant changes. Instant credibility, deep liquidation, and integration with traditional infrastructure could make it the default choice for institutions, threatening open protocols. Charles Hoskinson of Cardano had predicted this, affirming his vision of institutional participation in blockchain.
Regulations Pave the Way for Cryptocurrency
This development is not coincidental. The GENIUS Act provides a clear legal framework for stablecoins, creating a favorable environment for traditional finance to participate. With support from President Trump, stablecoin acceptance could be quickly implemented. US banks hope to combine long-standing reputation with blockchain's speed and transparency, making a mark in the digital asset world. Creating or competing? The cryptocurrency community is waiting to see.
