US Bank pilots custom-built stablecoin

US Bank has conducted a live pilot transaction using its proprietary US dollar-backed stablecoin, USBDC. The transaction involved moving funds between the bank's North American and European entities on the public Stellar blockchain.

The pilot tested various functions of the stablecoin, including minting, redemption, freezing, and clawback, while integrating with the bank's existing risk, compliance, and operations systems. The transaction also validated the bank's internally developed Digital Asset Platform, which connects tokenized assets with its traditional banking infrastructure.

The bank is exploring additional uses for the stablecoin, including cross-border treasury operations, liquidity management, and moving collateral on-chain. This pilot builds on US Bank's broader push into digital assets, which includes a dedicated Digital Assets and Money Movement unit established in October 2025. According to Cointelegraph, US Bank has been testing custom stablecoin issuance on Stellar since at least November 2025.

Brief written by urgent.news from Finextra, Cointelegraph — 2 reports on this story. Machine-written — may contain errors; check the original before relying on it.