Citigroup Explores Launch of Stablecoin as Digital Finance Push Deepens
Citigroup is actively considering issuing its own stablecoin, CEO Jane Fraser revealed during the bank’s Q2 2025 earnings call, as the financial giant accelerates its move into blockchain-based infrastructure.
“We are looking at the issuance of a Citi stablecoin,” Fraser confirmed, citing tokenized deposits as the most advanced component of Citi’s digital asset work. She emphasized that institutional demand for real-time, programmable, and regulated digital solutions is growing quickly.
Stablecoins — typically dollar-pegged and backed by assets like U.S. Treasuries — have become a core focus for global banks eyeing next-gen financial rails. Citi projects the stablecoin market could hit $3.7 trillion by 2030, assuming regulatory clarity and wider use cases.
Fraser outlined Citi’s blockchain strategy around four key areas:
- Providing reserve and liquidity services to stablecoin issuers
- Enabling fiat on/off-ramps
- Offering secure custody for digital assets
- Developing tokenized deposits, already in pilot phases
She called the shift toward tokenized money a “natural evolution” for the financial sector and welcomed legislative progress in Washington. Bills like the GENIUS Act and FIT21 could open the door to deeper institutional adoption, Fraser said.
Citigroup’s move echoes similar steps by other banking giants. JPMorgan’s JPM Coin has already processed billions in daily corporate payments, and BlackRock has launched tokenized funds.
Citi also delivered strong financials for Q2 2025: net income rose to $4 billion ($1.96 per share), up from $3.2 billion a year ago, on revenue of $21.7 billion — an 8% increase.
With both traditional finance and crypto converging, Citi’s stablecoin ambitions position it firmly in the race to define the future of money.
