The stablecoin scene is becoming increasingly competitive amid easing regulatory pressure, as brokerage firm Interactive Brokers eyes entering the market.
The $110 billion market-cap brokerage firm is now considering launching its own stablecoin, according to a Reuters report published on Monday. The article noted that the disclosure came from its billionaire founder, Thomas Peterffy, in a recent interview with the news outlet.
Notably, the venture follows the establishment of a clear regulatory framework for the stablecoin in the US amid a digital asset-friendly regime and bipartisan support for the nascent industry.
Interactive Brokers Mulls a Stablecoin Creation
Stablecoins are fiat-pegged digital currencies that act as a proxy for seamless and borderless transactions on the blockchain. Their ethos in speed and cost-effectiveness has sparked a preference for them by institutions over existing settlement rails.
With the industry seemingly new and institutional adoption still in its early stages, Interactive Brokers has hinted at dabbling in the sector. The firm told Reuters that it is considering launching its stablecoin to enable instant, 24/7 stablecoin funding for customers, as well as facilitate crypto transactions.
This would pave the way for its 3.87 million customers to explore stablecoin and crypto transactions. Notably, its massive user base makes Interactive Brokers one of the largest trading platforms in the US.
Interestingly, this would not be Interactive Broker’s first crypto venture. The firm leverages its collaboration with Paxos and Zero Hash to allow customers to trade different cryptocurrencies on its platform. With the digital asset regulatory landscape getting greener, it is now exploring the options of owning a stablecoin.
Stablecoin Appetite on the Rise
Meanwhile, Interactive Brokers joins the growing list of top financial firms that are teasing the creation of their brand-specific stablecoins. In June, retail giants Amazon and Walmart announced plans to launch their own stablecoin.
Large banks, including JP Morgan Chase, Citibank, Wells Fargo, and Bank of America, have also disclosed a joint venture to launch a stablecoin. The foray would see them compete for a share of the digital asset market as crypto firms are already entering the TradFi market aggressively.
Moreover, crypto-native companies are also debuting their stablecoins. Ripple launched the RLUSD stablecoin in December, following a joint stablecoin effort by Robinhood, Kraken, and Galaxy Digital to introduce the Global Dollar Network.
All these ventures come amid a wave of regulatory tailwinds from the Donald Trump-led administration. The president’s drive to make America the undisputed crypto leader and strong bipartisan support for this pro-crypto initiative led to the passage of the GENIUS Act this month.
Moreover, industry leaders have tipped stablecoins to draw in trillions of dollars into the US economy. US Treasury Secretary Scott Bessent predicted that the industry will surge to a $2 trillion market in a few years, a growth that would boost exposure to US Treasury bills.
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