A digital dollar moving between North America and Europe over a glowing blockchain network

U.S. Bank Moves Its Own Stablecoin Across Borders on Stellar

By Isaac • September 9, 2026 3:32 pm • Comments

U.S. Bank has moved its own digital dollar across borders on a public blockchain.

The bank completed a live pilot payment between U.S. Bank entities in North America and Europe using USBDC, its proprietary U.S. dollar-backed stablecoin. The transaction settled on the Stellar network.

This was an internal bank-to-bank pilot rather than a public token launch. U.S. Bank says the transaction was live and remained connected to the finance, risk, compliance and operations controls that govern its traditional banking business.

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U.S. Bank announced the completed transaction directly:

According to the official U.S. Bank announcement, the pilot evaluated minting, payment redemption, freezing and clawback capabilities. It also validated the bank’s internally developed Digital Asset Platform, which links tokenized assets with existing banking infrastructure.

Those controls matter. A regulated bank needs a token that can move quickly while still applying compliance rules and managing operational risk.

It also needs a way to respond when a payment must be stopped or unwound.

U.S. Bank described USBDC as one of the first bank-issued stablecoins deployed on a public blockchain and said the pilot could help bridge gaps in global banking with around-the-clock transaction capability. The release identified cross-border treasury operations, liquidity management and collateral mobility as future applications under review, while giving no timetable for customer access.

Stellar confirmed that USBDC is among the first bank-issued stablecoins deployed on a public blockchain:

U.S. Bank began publicly testing custom stablecoin issuance with the Stellar Development Foundation and PwC in 2025. Stellar offers fast settlement and low transaction costs.

The network also includes asset controls that regulated issuers can use to freeze or claw back tokens when necessary.

That makes USBDC very different from a permissionless dollar token designed primarily for crypto trading. The bank is testing a digital representation of dollars that can travel on public-chain rails while remaining under bank-grade control.

Cointelegraph noted that U.S. Bank is exploring broader applications including cross-border treasury operations, liquidity management and collateral mobility. Those are institutional jobs where settlement speed and around-the-clock availability can matter more than consumer-facing novelty.

The distinction is important. U.S. Bank has not said when USBDC might become available to clients, and it has not announced a wider commercial rollout.

The completed transaction was between two parts of the same banking group. That reduces the number of outside parties involved and gives the bank a controlled environment in which to prove issuance, transfer and redemption.

The pilot shows how far the stablecoin conversation has moved. A major U.S. bank has gone beyond asking whether it can issue a token.

It used one to transfer value between continents on a public network while keeping its traditional controls attached.

The next test is whether USBDC can solve a real client problem at scale. If U.S. Bank turns this pilot into a treasury or liquidity product, Stellar will have a highly visible example of public-blockchain infrastructure operating inside a regulated bank.

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