stablecoin news: Bank of America completes USBDC real-time payment pilot

Stabiloin News Highlights: Bank of America completes USBDC cross-border payment pilot

The latest developments in the stablecoin field focus on the cross-border payment pilot launched by U.S. Bank based on its own dollar-backed stablecoin USBDC. The transaction uses the Stellar blockchain to connect the payment system to the bank's internal infrastructure, allowing for the transfer of funds between U.S. banking entities in North America and Europe.

This pilot not only tests how USBDC payments work together with banks 'existing financial and operational systems, but also verifies how the settlement process can be integrated with banks' finance, risk, compliance and operational infrastructure when transferring value along the chain. Closely integrated. This architecture allows Bank of America to conduct on-chain transactions without deviating from the internal control system.

USBDC's core control mechanism for payments

At the same time, this trial evaluated multiple functions needed to manage banks 'issuance of digital assets, including USBDC's minting, payment processing, and stablecoin redemption. During the pilot process, Bank of America also tested asset freeze and recovery (Clawback) controls. These operations are supported by the bank's independently developed Digital Asset Platform, which provides a technical foundation for the issuance, management and transfer of tokenized assets, and further opens up the connection between traditional banking infrastructure and supporting blockchain networks.

In addition, Bank of America emphasized that the USBDC is one of the first banks to issue stablecoins deployed on a public blockchain. The bank said the structure could support round-the-clock transactions, including hours outside traditional bank hours.

CEO Gunjan Kedia pointed out that the pilot tested faster global cash management and capital flow capabilities, and linked the transaction to the bank's application of blockchain technology within an established framework.

Stellar Technology Supports Real-Time Trading

This transaction also extends the existing partnership between Bank of America and the Stellar Development Foundation. Stellar provides the public blockchain infrastructure used to complete regional inter-entity payments.

On this basis, Bank of America is examining multiple application scenarios of the technology at the institutional level, including liquidity management, collateral liquidity, cross-border treasury operations, and other settlement processes. Jamie Walker, head of digital assets and capital flows, said the pilot is part of its broader digital asset strategy. He emphasized that banks always maintain established standards of safety, reliability and security while focusing on customer use cases.

Stability currency layout of major international banks

However, USBDC payments are only part of a broader transformation in the large international banking industry. According to reports, institutions such as Goldman Sachs, Bank of America, Citigroup and Wells Fargo have joined plans for a stand-alone dollar stablecoin project. The banks plan to form a company in 2026 to manage the project and expect to issue cryptocurrencies pegged to their U.S. dollars in the first half of 2027. The initiative was originally announced in October 2025, when ten participating banks joined. In addition, the group also plans to launch stablecoins pegged to other G7 currencies, with the euro listed as a priority.

stablecoin news draws regulatory attention

On the other hand, another consortium of 37 financial institutions formed a company called Qivalis. Qivalis reportedly plans to launch a euro-backed stablecoin later 2026. Some financial institutions participated in both projects. For example, Spanish bank BBVA belongs to both a dollar-based group and a member of the Qivalis consortium. In addition, World Liberty Financial, the crypto business of President Donald Trump's family, has also issued another independent stablecoin.

Meanwhile, European Central Bank President Christine Lagarde raised concerns about privately issued stablecoins. She said that without a strong regulatory framework, these stablecoins could affect monetary policy and financial stability. She pointed out that the market size of unsecured crypto assets has grown from less than 200 billion euros at the beginning of 2020 to approximately 2.7 trillion euros in 2025.

Lagarde also attributed the expansion to investor speculation and extreme price volatility. She said these characteristics make unsecured assets unsuitable as reliable payment instruments and expose investors to financial risk.