tl;dr
Bank of America is exploring stablecoins to enhance its payment systems and improve transaction efficiency, focusing on their use as a transactional tool. The bank has conducted significant preparatory work and is evaluating scalability across transaction types. Since early 2025, it has engaged with...
Bank of America is proactively exploring stablecoins to modernize its payment systems and improve the efficiency of handling trillions of dollars in client transactions, according to CEO Brian Moynihan during the bank’s second-quarter earnings call on July 15. The bank is focusing on using stablecoins primarily as a transactional tool, highlighting their potential to streamline daily money movement within its infrastructure. Significant preparatory work has already been done, and the bank is assessing scalability across various transaction types.
Although the stablecoin market is still relatively small compared to traditional banking flows, Moynihan indicated that wider adoption could follow as regulatory clarity improves. Since early 2025, Bank of America has been analyzing the stablecoin space and has reportedly engaged with other major U.S. financial institutions, including JPMorgan and Citigroup, on the potential for joint stablecoin issuance.
The rise of stablecoins signals a broader shift in traditional finance toward blockchain-based payment rails. In 2024, stablecoin transaction volumes exceeded those of Visa and Mastercard combined. The circulating value of stablecoins has surged to $257 billion, nearly doubling since early 2023, with Tether’s USDT and Circle’s USDC accounting for over 85% of the market.
U.S. lawmakers have responded to this rapid growth with efforts to establish clearer regulations. The GENIUS Act, the administration’s flagship digital asset legislation, passed the Senate with bipartisan support in June but faced delays in the House after a procedural vote was blocked. A full House vote is anticipated by July 17.
As more major financial institutions gravitate toward blockchain payment rails, Bank of America’s cautious yet proactive engagement signals that the largest players on Wall Street may soon adopt stablecoins as a fundamental component of future settlement systems.