Citigroup Explores Launching ‘Citi Stablecoin’ Amid Rising Crypto Interest – Crypto News – Crypto News
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Citigroup Explores Launching ‘Citi Stablecoin’ Amid Rising Crypto Interest Citigroup Explores Launching ‘Citi Stablecoin’ Amid Rising Crypto Interest

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Citigroup Explores Launching ‘Citi Stablecoin’ Amid Rising Crypto Interest – Crypto News

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The bank joins other major financial institutions embracing stablecoins and crypto services as regulations ease and market demand grows.

Citigroup Inc., the third-largest U.S. bank with $1.7 trillion in total consolidated assets, is weighing plans to launch its own stablecoin, adding itself to a growing list of other major banks expanding into crypto.

“We are looking at the issuance of a Citi stablecoin,” Citigroup CEO Jane Fraser said on an earnings call on Tuesday, July 15, Bloomberg reported. “We really welcome the administration’s willingness to allow banks to participate in the digital asset space more easily.”

The announcement came as Citi shares hit their highest level since 2008 after posting better-than-expected Q2 earnings and revealing plans to buy back at least $4 billion of stock in the third quarter.

With Congress advancing new stablecoin rules and regulators easing crypto restrictions, big banks like Citi are looking at issuing their own tokens to keep up with digital payment trends. Citi already runs a private deposit token system and is now exploring outside partnerships as well, per Bloomberg.

The news comes as stablecoins remain one of the fastest growing sectors in crypto. For nearly two years, stablecoins have been growing and now make up close to one-third of all decentralized finance (DeFi) revenue, with total market capitalization surpassing $257 billion. Tether’s USDT leads the space with a $160 billion market cap, representing 62.5% of the sector, according to DefiLlama.

It also comes after a recent report by crypto bank Sygnum found that the U.S. is increasingly relying on dollar-backed stablecoins to help defend the dollar’s global dominance. The U.S. dollar has already dropped 10.7% against major currencies through June 2025, its worst first-half performance since 1973. In turn, investors are increasingly turning to alternative safe havens, such as gold and, in some cases, cryptocurrencies.

Stablecoin Scene

Efforts to push key crypto legislation — including for stablecoins — through Congress faced a setback on Tuesday during what some GOP lawmakers have dubbed “Crypto Week.”

However, House Majority Leader Steve Scalise told Politico today that he expects a vote on all three crypto bills before the House today.

Earlier this year, Visa unveiled plans to roll out platforms to help banks create their own dollar-pegged stablecoins, while Fiserv announced plans to launch a USD stablecoin on Solana by year-end, as industry demand grows. In May, reports surfaced that a group of firms owned by major U.S. banks, including Citi, are also considering launching a joint stablecoin. One of the banks, JPMorgan, also revealed last month that it is testing its own deposit token, JPMD, on Base.

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