Banks Test Stablecoins as New Way to Speed Up Cross-Border Payments

Stablecoins, a type of digital token that holds a consistent value, are being tested by banks and payment companies as a new way to speed up cross-border payments. The use of stablecoins is expected to increase in 2026, with regulatory momentum making banks more willing to test the technology at scale.

The World Economic Forum predicts that 2026 will be a 'defining moment' for crypto technologies, including stablecoins. Stablecoins are designed for everyday transactions and can be used for international money transfers, online shopping checkouts, and cryptocurrency platforms.

Banks such as Bank of America, Citigroup, Goldman Sachs, and Deutsche Bank have jointly explored stablecoins tied to major national currencies. The use of stablecoins is expected to make payments faster and more flexible for consumers, but it also requires new habits and careful review of details before sending money.