A coalition of 21 banks and financial firms announced a $270 million commitment to fund a new stablecoin issuer that will initially issue a U.S. dollar‑denominated token. The backing includes major U.S. banks such as Goldman Sachs, Citi, Bank of America and Wells Fargo, as well as European and Asian institutions like Santander, Deutsche Bank, UBS and MUFG. According to Bloomberg, the funding is earmarked to cover operating costs for the first five years of the venture, which is expected to incorporate in the United States and launch in the first half of 2027.

Update, Nov 10, 20:52 UTC: Circle's stock fell again after the $270 million commitment was reported, extending a series of declines that began with earlier stablecoin competitor news, according to BeInCrypto. The reports also note that the consortium is still searching for a chief executive for Project Faro, as confirmed by Bloomberg sources cited by BeInCrypto and Unchained.

Consortium composition and timeline

The consortium, first formed in October 2025, grew from ten founding banks to 21 members spanning North America, Europe, East Asia, the Middle East and Africa. While the announcement does not disclose individual contribution sizes or ownership stakes, it lists the participating institutions and confirms that the new company will be created in the second half of 2026, subject to closing conditions. The launch window is set for early 2027, with the dollar token slated for release first and a euro‑linked stablecoin identified as the next priority.

Regulatory framework under the GENIUS Act

The initiative is designed to comply with the U.S. GENIUS Act, signed into law in July 2025, which mandates full‑reserve backing, monthly public reserve disclosures and limits on marketing language. The Office of the Comptroller of the Currency (OCC) issued a final rule implementing the GENIUS Act, effective Jan. 18, 2027, covering reserve assets, redemption, risk management, audits and supervisory requirements. The rule also aligns with the EU’s MiCA regulation where applicable, ensuring that the stablecoin will meet both U.S. and European standards for transparency and consumer protection.

Intended use cases and market focus

Wells Fargo described the planned token as a “trusted form of digital money” aimed at cross‑border payments and digital‑asset settlement. The consortium envisions serving wholesale, institutional and retail customers, leveraging the banks’ distribution networks, compliance expertise and risk‑management capabilities. Specific fee structures, onboarding timelines or blockchain platforms have not been disclosed, and the venture’s legal entity and reserve custodian remain to be announced.