U.S. Bank completes live cross‑border payment with its USBDC stablecoin on Stellar
Live cross‑border test of USBDC stablecoin
U.S. Bank moved its proprietary USBDC stablecoin between its North American and European entities on the public Stellar blockchain. The transaction was a live cross‑border payment that used the bank’s Digital Asset Platform.
Key points
- The pilot transferred USBDC on Stellar between U.S. Bank’s U.S. and European branches.
- Minting, redemption, freezing and clawback functions were tested.
- The bank integrated the token with its existing risk, compliance and operations systems.
- U.S. Bank plans to explore further uses such as treasury operations and on‑chain collateral.
Bank’s statement
According to a press release, the pilot validated the bank’s internally developed Digital Asset Platform, which links tokenized assets with traditional banking infrastructure. The bank is based in Minneapolis, Minnesota, and is looking at additional applications for the stablecoin.
Background on the project
U.S. Bank created a Digital Assets and Money Movement unit in October 2025 to focus on stablecoin issuance, crypto custody, asset tokenization and digital money movement. The bank has been testing custom stablecoin issuance on Stellar since at least November 2025, working with PwC and the Stellar Development Foundation.
What is confirmed
- The cross‑border transaction using USBDC on Stellar was completed on Sept 9 2026.
- The pilot exercised minting, redemption, freezing and clawback capabilities.
- The bank’s Digital Asset Platform was used and integrated with its risk and compliance systems.
What remains unclear
- Details about the transaction size and fees were not disclosed.
- The timeline for broader deployment of USBDC beyond the pilot is not specified.
Why the test matters
Demonstrating a stablecoin on a public blockchain shows how a traditional bank can combine digital assets with existing systems, potentially speeding up cross‑border payments and reducing reliance on legacy networks.
Next steps
The bank said it will continue exploring use cases such as cross‑border treasury operations, liquidity management and on‑chain collateral movement.
