JPMorgan, three US banks challenge stablecoins with shared deposit tokens

JPMorgan Chase, Bank of America, Citigroup and Wells Fargo are developing a shared tokenized deposit network that could bring round-the-clock blockchain payments to the regulated US banking system. Summary Four major US banks are jointly developing an interbank tokenized deposit network. The Clearing House is targeting a launch in the first half of 2027. Multinational companies will initially receive access to programmable treasury and cross-border payment tools. Banking groups are separately seeking tighter stablecoin reward rules under the CLARITY Act. Four US banks move tokenized deposits onto one network The Clearing House, a payments company jointly owned by major commercial banks, will operate the planned network. It aims to let participating institutions clear and settle tokenized deposits at any time while connecting blockchain-based activity with existing payment rails. Tokenized deposits represent claims against money held at a commercial bank. Unlike stablecoins, the underlying funds remain within the regulated banking system and receive the same legal treatment as conventional deposits. The network will initially serve multinational corporations. Its proposed uses inclu...