Major Banks and others Embrace Stablecoin Support
Stablecoins – digital currencies backed 1:1 by fiat assets like U.S. Treasuries or cash – are having a breakout year. Once used just for crypto trading and DeFi degens, they’re now being adopted and implemented by banks, fintechs, apps and even retailers as a serious wave of adoption paves the path of future payments and savings.
With the U.S. GENIUS Act, stablecoins can be issued by licensed institutions under specific reserve requirements. While the Act prohibits paying direct interest to holders by the issuer of the stablecoin (like Circle), but not the intermediaries that use the token like platforms, apps or crypto exchanges. This opens the floodgate for new innovations – particularly in reward structures, embedded yield mechanisms, and tokenized savings.
This breakdown summarizes the major players entering the stablecoin space, and details on those offering or planning to offer yield or rewards. Let’s go!
Major Banks Entering the Stablecoin Market
| Bank | Stablecoin or Service | Yield/Rewards | Status | Notes |
|---|---|---|---|---|
| Paypal | PYUSD + 3.7% rewards program | ✓ Yes – 3.7% APY in PYUSD | Launching Summer 2025 | U.S. customers will earn yield paid monthly in PYUSD |
| SoFi | Stablecoin remittances + wallet plans | Unknown | In development | Announced crypto wallet with stablecoin features and cross-border plans |
| Bank of America | Internal USD stablecoin project | Unknown | In development | CEO confirmed plans pending regulatory readiness |
| Revolut | Stablecoin rewards program | ✓ Yes | Launching soon | Built on Morpho, EVM |
| JPMorgan, Citi, Wells Fargo | Joint stablecoin effort (rumored) | Unknown | Unconfirmed | Expected to focus on institutional payments or tokenized settlements |
| BNY Mellon | Selected Ripple stablecoin | Unknown | In development | |
| Finserv | FIUSD | Unknown | In development | Built on Paxos and Circle |
| Santander (Spain) | Exploring stablecoins internally | Unknown | Early exploration | Could issue USD or EUR-backed tokens through digital subsidiary |
| Societe Generale (France) | USD CoinVertible (USDCV) | Not yield-bearing | Live | Launched on Ethereum and Solana with fiat reserve backing via BNY Mellon |
| BBVA (Spain) | Euro/USD stablecoin via Visa platform | Unknown | Pilot in planning | Will use Visa’s tokenization infrastructure for bank-issued tokens |
| Deutsche Bank (Germany) | Stablecoin/crypto custody platform | Custody only | Launching in 2026 | Stablecoin custody will be part of full digital asset suite |
| ZA Bank (Hong Kong) | Custodial banking for stablecoin issuers | No rewards for users | Live | Supports fiat reserves and infrastructure for third-party issuers |
Retail and Big Tech Exploring Stablecoins
| Company | Stablecoin Activity | Yield/Rewards | Status | Notes |
|---|---|---|---|---|
| Amazon | Exploring proprietary stablecoin | Unknown | Rumored | May integrate into payments and customer rewards ecosystem |
| Walmart | Stablecoin project under internal review | Possible future rewards | Rumored | Likely tied to loyalty, refunds, and retail payments |
| Meta | Considering re-entry to stablecoins | Unknown | Unconfirmed | Diem (formerly Libra) failed for being too early for regulators; now revisiting concept |
| World Liberty Financial | Issuing USD1 stablecoin | Possible DeFi integrations | Active | Focused on both retail and institutional stablecoin usage |
Other Noteworthy Issuers and Stablecoin Programs
| Issuer | Stablecoin or Project | Yield/Rewards | Status | Notes |
|---|---|---|---|---|
| Robinhood + Paxos | Global Dollar (USDG) | No direct rewards, as they are an issuer | Live in EU | MiCA-compliant, designed for everyday users and merchants |
| Visa (in partnership with banks) | Tokenized Asset Platform | Infrastructure only | Pilot in progress | Enables banks like BBVA to issue fiat-backed tokens on-chain |
What This Means for Savers and Investors
The rapid expansion of stablecoin offerings across banks and fintechs reflects a new phase of digital finance: regulated, institutionally backed, and increasingly geared toward utility and long-term retention. Companies are working to add structured rewards, embedded yield in tokenized funds, and integrations with popular DeFi yield protocols.
We expect the following trends to accelerate:
- Reward-based stablecoins like PayPal USD setting a new precedent
- Tokenized savings accounts that mimic high-yield cash alternatives
- Retail integration from Amazon, Walmart, and others with customer incentive layers
- Institutional entrants offering high-trust custody and settlement rails
Meanwhile, decentralized finance will continue to serve as the primary destination for risk-adjusted yield on stablecoins, especially for more experienced investors.
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