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XLM drops 3.09% following the introduction of a USD stablecoin by a US bank on the Stellar blockchain

XLM drops 3.09% following the introduction of a USD stablecoin by a US bank on the Stellar blockchain

Bitget-RWA2025/11/27 16:04
By:Bitget-RWA

- US Bank launches USD-backed stablecoin on Stellar blockchain, collaborating with PwC and SDF to modernize payment systems. - The fully dollar-pegged token leverages Stellar's compliance features and low-cost infrastructure for institutional-grade digital asset issuance. - This pilot positions Stellar as a bridge between traditional banking and blockchain, with potential to reshape cross-border payments and treasury operations. - Industry observers highlight the initiative's significance as a potential bl

Leading U.S. Bank Introduces Dollar-Pegged Stablecoin on Stellar Network

On November 27, 2025, a major American bank announced the rollout of a stablecoin backed by the U.S. dollar, utilizing the Stellar (XLM) blockchain. This development highlights the growing adoption of blockchain solutions within established financial institutions, as banks seek to modernize both domestic and international payment systems through asset tokenization.

The new stablecoin is fully collateralized by U.S. dollars and is being created in partnership with PwC and the Stellar Development Foundation (SDF). The initiative is focused on establishing a robust, regulated framework for issuing and managing digital deposit tokens. The bank will evaluate the stablecoin’s regulatory compliance, operational reliability, and how it integrates with its current banking processes.

By launching this project, the bank positions itself at the forefront of blockchain innovation in the financial sector, especially in leveraging public blockchain infrastructure for new financial products. Industry experts are closely monitoring the project, viewing it as a potential model for other banks interested in entering the tokenized finance arena.

Stellar’s Contribution to Financial Innovation

Stellar’s blockchain is being chosen for its rapid transaction speeds, low costs, and advanced asset tokenization capabilities. The network offers features such as asset freezing, transaction reversal, and built-in compliance controls—tools that are essential for regulated financial entities.

Stellar Blockchain Integration

The head of digital assets at the bank emphasized that Stellar’s ability to enforce regulatory requirements directly at the protocol level sets it apart from other blockchains. The project aims to demonstrate how Stellar can serve as a vital link between conventional banking systems and blockchain-based settlement platforms.

PwC is overseeing the regulatory and compliance framework, while the Stellar Development Foundation is handling the technical aspects of the integration. This collaboration is designed to address both the regulatory and technological complexities involved in launching a compliant stablecoin.

Broader Impact on the Financial Sector

The pilot launch comes at a time when institutional interest in stablecoins and digital assets is rapidly increasing. With forecasts indicating that stablecoin transactions could surpass $1 trillion annually by 2030, U.S. banks are feeling the pressure to innovate and maintain their competitive edge in the evolving digital finance landscape.

If this initiative proves successful, it could accelerate the adoption of stablecoins issued by banks, transforming cross-border payments and treasury management. Should other leading banks follow suit, the market for tokenized assets could see substantial growth.

Stellar’s infrastructure, designed for global money transfers and real-time settlement, is gaining traction among financial institutions looking to upgrade their systems. This project highlights Stellar’s expanding role in the digital asset space, especially for organizations aiming to merge traditional finance with blockchain technology.

Future Prospects: Institutional Embrace and Next Steps

Market analysts are watching closely to see if the bank will proceed with a full-scale launch of the stablecoin after the pilot phase. The results of this test could shape how quickly other financial institutions move to adopt similar blockchain-based solutions.

This initiative represents more than a technical trial—it is a deliberate move toward integrating stablecoins into mainstream banking offerings. As confidence in blockchain-powered payment systems continues to rise, Stellar’s influence in this transformation is expected to grow even further.

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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