Bank Is Assessing Stablecoin Launch, Confirms Citigroup’s Top Executive

Citigroup Considers Issuing Stablecoin as Digital Asset Strategy Advances

Citigroup is exploring the issuance of its own stablecoin, CEO Jane Fraser confirmed during the bank’s Q2 2025 earnings call, signaling the firm’s growing commitment to blockchain-enabled financial infrastructure.

“We are looking at the issuance of a Citi stablecoin,” Fraser said, noting that tokenized deposits remain the most developed aspect of Citi’s digital asset strategy. She emphasized the growing demand from institutional clients for real-time, compliant, and efficient financial products built on blockchain rails.

Stablecoins — typically pegged to the U.S. dollar and backed by high-quality assets like Treasury bills — have become a focal point in traditional finance as institutions seek faster, programmable money solutions. Citi estimates the global stablecoin market could expand to $3.7 trillion by 2030, driven by regulatory clarity and broader adoption.

Fraser described digital assets as a “natural evolution” in financial services and outlined four key pillars of Citi’s blockchain strategy:

• Reserve and liquidity management for stablecoin issuers
• Fiat on- and off-ramps
• Custody for digital assets
• Tokenized deposits, which are already being piloted

The comments come amid increased legislative attention to crypto policy in the U.S., with several bills — including the GENIUS Act and FIT21 — currently under review. Fraser said regulatory momentum could unlock the next phase of institutional participation.

Citi’s move mirrors a broader trend across Wall Street. Even JPMorgan, historically cautious about crypto, has seen traction with its JPM Coin, which is now processing billions in daily transfers for corporate clients.

Meanwhile, Citi delivered strong quarterly results. The bank posted Q2 net income of $4 billion ($1.96 per share), up from $3.2 billion ($1.52) in the same period last year. Revenue climbed 8% to $21.7 billion, with growth across all major business lines.

As the line between traditional and digital finance continues to blur, Citigroup is positioning itself as a key player in the tokenized future of banking.