Citi & JPMorgan Eye USD Stablecoins Amid Regulatory Clarity
Citi and JPMorgan Chase are accelerating their push into USD stablecoins and tokenized deposits. Citigroup CEO Jane Fraser confirmed plans for a “Citi stablecoin” alongside on-chain customer deposit tokens to enable faster, lower-cost cross-border settlements and institutional trading. JPMorgan is preparing to launch JPMD on its Base network, targeting blockchain-based deposit solutions. Both initiatives benefit from new regulatory clarity under the GENIUS Act. With the global stablecoin market valued at $257 billion and forecast to reach $3.7 trillion by 2030, crypto traders should watch for official filings, pilot programs, reserve management services, and custody rollouts as potential drivers of liquidity and market adoption.
Neutral
The news that Citi and JPMorgan are rolling out USD stablecoins and tokenized deposits is unlikely to drive price moves in stablecoin markets, as these assets are meant to maintain a 1:1 peg. While large banks’ entry could boost usage, liquidity, and market stability over time, it does not directly affect stablecoin valuations. In the short term, traders should not expect volatility, though increased institutional adoption may enhance market depth and transactional volume in the long run.