Bank-backed fintech eyes retail payments amid new U.S. regulatory framework
Early Warning Services (EWS), the fintech behind the Zelle payments network, is preparing to explore the launch of its own stablecoin for U.S. retail banking customers, according to people familiar with the matter. The initiative, still in its early stages, would begin with a small-scale pilot project and could give millions of consumers a new way to make everyday payments using blockchain-based assets.
Stablecoins, unlike cryptocurrencies such as bitcoin, are designed to maintain a fixed value—most commonly pegged to the U.S. dollar. With the new initiative, EWS would join a growing list of financial firms seeking to integrate stablecoins into mainstream banking. The company is jointly owned by major banks including JPMorgan Chase, Bank of America, Wells Fargo, Capital One, and PNC.
Founded in 2017, EWS created Zelle as the banking industry’s answer to Venmo and CashApp. Last year, Zelle processed more than $1 trillion in transactions, and in August set a record with $108 billion in monthly volume.
The timing of EWS’s exploration comes just months after President Donald Trump signed the GENIUS Act, the first federal framework for dollar-backed stablecoins. The legislation has been viewed as a green light for banks and fintechs to issue regulated stablecoins, though regulators have yet to finalize detailed compliance guidance.
The potential market is vast. The global supply of stablecoins currently totals $287 billion, according to DefiLlama. Analysts at JPMorgan estimate that figure could double or triple within a few years, while Citigroup forecasts the market could reach as much as $3.7 trillion by 2030.
If successful, EWS’s move would mark one of the first attempts by a consortium of major U.S. banks to integrate stablecoins directly into consumer payments, potentially reshaping the landscape of digital transactions.
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