BofA Explores Stablecoins for Payment Innovation, CEO Confirms

Date:

CEO Brian Moynihan sees stablecoins as a transformational tool for Bank of America’s payment system evolution.

Bank of America is taking early steps to explore stablecoins. It aims to modernize its payment systems and more efficiently manage trillions of dollars in client transactions. The lender’s CEO, Brian Moynihan, stated this during the bank’s second-quarter earnings call on July 15.

Moynihan emphasized the firm’s current focus on using stablecoins “as a transactional device,” noting their potential to streamline how money moves through the bank’s infrastructure each day.

He added that the bank has already done substantial groundwork and is evaluating how scalable the opportunity may be across various transaction types.

While the stablecoin market remains relatively small compared to traditional banking flows, Moynihan signaled that broader adoption may come as regulatory clarity improves.

The bank has assessed the space since early 2025, and it has reportedly discussed the potential joint issuance of a stablecoin with other major U.S. institutions, including JPMorgan and Citigroup.

Stablecoin Expansion Eclipses Traditional Network Growth

The announcement arrives amid a broader shift in legacy finance toward stablecoin-backed payment rails. In 2024, stablecoin transaction volumes surpassed the combined totals of Visa and Mastercard.

Since then, the value of stablecoins in circulation has surged to $257 billion, nearly double the level from early 2023. Over 85% of that total is now made up by Tether’s USDT and Circle’s USDC.

The sector’s rapid rise has prompted U.S. lawmakers to push for a clearer regulatory framework. The Senate passed the GENIUS Act, the current administration’s digital asset agenda centerpiece, in June with bipartisan support.

However, lawmakers stalled the bill in the House this week after they blocked a procedural vote. They expect a floor vote by July 17.

As major institutions increasingly turn to blockchain-based rails, Bank of America’s cautious but active approach signals that Wall Street’s largest players may be preparing to make stablecoins a cornerstone of future settlement systems.

Marton K.
Marton K.https://thecoingraph.com
Marton is seasoned crypto and finance journalist with over four years of experience. He has contributed to several high-profile outlets.

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Share post:

Subscribe

spot_imgspot_img

Popular

More like this
Related

South Korea’s Jeonbuk Bank Becomes First Lender to Offer Bitcoin-Backed Loans

Jeonbuk Bank in South Korea launched the nation’s pioneer...

XRP Ledger Stands by Urgent Patch Addressing Unlimited XRP Bug

The XRP Ledger Foundation rejected claims suggesting network operators...

Lithuania Aligns Crypto User Tracking Rules With EU Regulations

Lithuania’s tax authority updated its rules on how crypto...

Celsius Founder Alex Mashinsky Permanently Barred by New York in $35M Settlement

Under the newly settled 2023 civil fraud lawsuit, the...