According to CoinDesk, U.S. Bank, the fifth-largest commercial bank in the United States, has completed a cross-border real-time payment using its proprietary USD stablecoin, USBDC, facilitated via the Stellar blockchain between entities in North America and Europe. The test encompassed USBDC’s minting, redemption, freezing, and recovery functions, and validated the integration capabilities between the bank’s internally developed Digital Asset Platform and its financial, compliance, and risk management systems. U.S. Bank stated it is exploring the use of USBDC for cross-border financial operations, liquidity management, and collateral transfers, but has not disclosed a timeline for making it available to customers. Previously, 21 financial institutions—including Bank of America, Citibank, and Goldman Sachs—announced plans to jointly issue a stablecoin, while several European banks formed the Qivalis alliance to launch a euro-backed stablecoin, signaling a growing trend of banks entering the stablecoin space.
U.S. Bank Completes USBDC Stablecoin Cross-Border Payment Test
TechFlowShare
Summary
U.S. Bank, the fifth-largest U.S. commercial bank, has completed a cross-border real-time payment test using its proprietary USD stablecoin, USBDC. The test, part of ongoing digital asset developments, involved entities in North America and Europe via the Stellar blockchain. It assessed minting, redemption, freezing, and recovery functions, as well as integration of crypto compliance with the bank’s financial and risk systems. The bank is now exploring expanded use of USBDC for cross-border payments, liquidity, and collateral transfers, though no customer rollout date has been announced.
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