Sept 9 (Reuters) – U.S. Bancorp said on Wednesday it completed a live pilot transaction using its proprietary U.S. dollar-backed stablecoin, USBDC as lenders race to develop blockchain-based payment networks with stablecoins gaining wider adoption.
Here are some more details:
• The pilot involved a cross-border transfer between U.S. bank entities in North America and Europe on the Stellar blockchain.
• The bank said it tested capabilities including minting, redemption, freezing and clawbacks through its digital asset platform.
• Stablecoins are used to move money around the world in the form of cryptocurrency, and are mostly used in crypto trading.
• The move follows broader industry efforts to embrace stablecoins, with Goldman Sachs, Bank of America, Citigroup and Wells Fargo among the banks planning to create a company this year to issue a cryptocurrency pegged to the dollar in the first half of 2027.
(Reporting by Pragyan Kalita in Bengaluru; Editing by Devika Syamnath)
