U.S. banks form Clearing House-backed tokenized deposit system to challenge stablecoins, aiming for 2027 launch

JPMorgan Chase and a group of large U.S. banks, including Citigroup, Bank of America and Wells Fargo, are backing a shared tokenized deposit network that the banks hope to launch in 2027; the project is being built through The Clearing House, a real-time payments operator, according to multiple reports ^{[1] [2] [3]}.

The move is presented as a response to growing traction for stablecoin firms and crypto firms in payments and corporate finance, with banks aiming to offer tokenized deposit infrastructure that keeps settlement inside traditional banking rails ^{[1] [4]}.

Reports say The Clearing House would run the system and that participating banks are targeting a 2027 launch, signaling rising institutional interest in blockchain-based settlement and tokenization of bank deposits ^{[3] [1]}.

If completed, the initiative would create a bank-led alternative to privately issued stablecoins by tokenizing deposits on an industry platform overseen by established U.S. banks and The Clearing House ^{[2] [1]}.