Several of the largest U.S. banks — including JPMorgan Chase, Bank of America, Citigroup, and Wells Fargo — are in early-stage discussions to launch a joint stablecoin, according to a report by the Wall Street Journal.

The effort is seen as a strategic response to growing competition from the crypto sector, particularly as stablecoins gain traction due to their efficiency in digital payments and cross-border transactions.

The talks involve entities co-owned by the banks, notably Early Warning Services, the operator of the Zelle payment network, and The Clearing House, which manages real-time payments.

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The structure under consideration could allow both large and regional banks to participate, potentially creating a broad ecosystem for any such stablecoin.

Sources said the final decisions would depend on the fate of legislative action around stablecoins and other factors. 

Earlier this week, the GENIUS Act — the first comprehensive federal framework for regulating stablecoins — cleared a major procedural hurdle in the U.S. Senate.