BANKLorenzo Protocol Price

While the Bank for International Settlements (BIS) argues that stablecoins lack key properties to function as money at scale, major global banks are actively developing their own stablecoin plans on public blockchains. BIS head Pablo Hernández de Cos advocates for tokenized bank deposits as a superior foundation for modern digital payments, citing issues with stablecoins regarding uniformity, interoperability, and financial integrity. These problems include exchange rate fluctuations between different stablecoins, settlement complexities across fragmented blockchains, and anonymity concerns. Despite these warnings, a consortium of over a dozen major banks, including Bank of America and Citi, is preparing to launch a bank-issued stablecoin. This shift is driven by competitive pressure and regulatory changes like the GENIUS Act, with banks fearing potential deposit outflows to crypto-native issuers. Data shows stablecoin transaction volumes are massive, but a small fraction represents real-economy payments. While central banks prefer tokenized deposits for core payments, commercial banks increasingly see a strategic need for stablecoins to retain relevance, even as some, like JPMorgan, currently deny having imminent launch plans.

Russia's largest bank, Sber, intends to expand its cryptocurrency-backed lending services to include Tether's USDt stablecoin and Ether as collateral, in addition to Bitcoin, following the enactment of a new Russian crypto law. The expansion is contingent upon approval from the Bank of Russia, which recently proposed these assets for regulated exchange trading. Concurrently, Sber has expressed skepticism regarding demand for Russia's central bank digital currency (CBDC), the digital ruble, noting a lack of clear interest from retail, corporate, or institutional clients ahead of its broader launch.

ECB Executive Board member Isabel Schnabel stated that central bank money "must move onto the blockchain." She argued that stablecoins lack the independent ability to scale liquidity during financial stress—a gap only a central bank can fill. Her proposed solution involves tokenization, which she says can make transactions faster, safer, and more programmable, but only if the safest asset (central bank money) is on the same "rails" as other tokenized assets. This marks a notable shift for the Eurosystem, which had previously viewed Distributed Ledger Technology (DLT) mainly as a tool for regulating stablecoins and crypto, not as infrastructure to adopt directly. The first step is Project Pontes, launching in September. It will initially synchronize the ECB’s existing TARGET services with private DLT platforms. Eventually, it aims to enable settlement finality on a Eurosystem-managed DLT platform with smart contract functionality and 24/7 operation. The long-term strategy is Project Appia, tasked with developing the architecture, standards, and legal framework for a genuine European tokenized asset market by 2028. Trials have already processed around €1.6 billion, and since March 2026, the ECB accepts DLT-based assets as collateral. While not directly impacting Bitcoin's price, these developments signal that a major G7 central bank is preparing to settle transactions on-chain, lending legitimacy to the underlying infrastructure of crypto markets. The ECB's move to avoid "disintermediation" by private tokenization shows that debates in central bank boardrooms are now aligning with discussions long followed in the crypto space.

Russia's largest bank, Sberbank, is preparing to expand its range of cryptocurrency-backed loan products. According to deputy chairman Anatoly Popov, the bank plans to accept not only Bitcoin (BTC) but also Ethereum (ETH) and the stablecoin Tether (USDT) as collateral for loans in the future. This move follows the bank's existing practical experience with crypto assets. Popov stated that Sberbank will adapt its current products and gradually broaden its crypto-related services once new Russian regulations fully come into force. However, the implementation of this plan is contingent on regulatory approval, specifically requiring the Central Bank of Russia to authorize the public circulation of ETH and USDT for them to be used as loan collateral.

The Central Bank of Russia (CBR) has announced the launch of the digital ruble, with major banks and retail companies set to open infrastructure for operations with the new form of national currency starting September 1. Citizens will be able to voluntarily open an account on the CBR platform via connected bank apps. Individuals and companies will be limited to one digital ruble account each, while individual entrepreneurs can have two: one as a private individual and another for business. Citizens can top up their digital ruble accounts from their bank accounts with a monthly limit of 300,000 rubles; no limit is set for businesses. The digital currency will enable transfers, payments for purchases, refunds, and budget payments, with no restrictions on managing funds in the digital wallet. Transactions and transfers in digital rubles will be free for citizens. For businesses, no commissions will be charged until the end of this year, but fees for companies and individual entrepreneurs will be introduced starting in 2027. The CBR has also allowed banks not legally required to open infrastructure this autumn to connect to the platform earlier if they wish to launch digital ruble services. In a related development, Russia's Supreme Court Plenum ruled in June that digital rubles, digital rights, and digital currency are included in the definition of property subject to theft.