Goldman, Citi and other banks reportedly back a $270 million plan to launch a U.S. stablecoin issuer

Goldman Sachs, Citi and other large banks are reportedly among the backers of a new stablecoin venture that has raised or arranged funding totaling about $270 million for what the group calls Project Faro. According to a crypto-industry report, the 21-firm coalition is still searching for a chief executive to lead the planned U.S. stablecoin issuer, and it aims to go to market in 2027.

Stablecoins are cryptocurrencies designed to maintain a stable value, often by being backed by reserves such as cash or highly liquid assets. Issuers typically operate under legal and regulatory constraints that vary by jurisdiction, and that compliance burden has become a major focus for traditional financial firms looking at blockchain-based settlement and tokenized finance.

The reported funding and executive search underline how banks are approaching the stablecoin business as an infrastructure project rather than a consumer app. In this framing, the planned issuer would be expected to provide the plumbing for tokenized dollar transactions, with the goal of making issuance, redemption, and custody arrangements more standardized across market participants.

The report also places Project Faro in a broader set of efforts by banks to develop regulated routes into digital assets. While stablecoins have been gaining attention as payment and settlement instruments, banks have generally been cautious about operating directly in markets where legal, custody, and reserve-management practices remain scrutinized.

Project Faro is described as a coalition of 21 firms, suggesting an industry consortium model. That structure can reduce duplicated work on compliance and operating frameworks, but it can also slow decision-making, particularly around leadership selection, governance, and the timing of regulatory approvals.

Goldman Sachs is listed by name as one of the institutions involved, alongside Citi, according to the report. Both firms have publicly discussed digital assets and tokenization in various contexts, but the reporting does not specify whether they are taking a lead operational role or contributing capital under a consortium arrangement.

The figure of $270 million, if accurate, is sizable for an early-stage infrastructure build. However, the report’s details on how the funds are deployed, whether they are fully committed or still being finalized, and what specific regulatory pathway the group is pursuing were not described in the information provided here.

Separately, the report says the group is still hunting for a chief executive and is targeting a 2027 go-to-market date. That timeline suggests the project is still in a setup phase, meaning key items such as the issuer’s corporate structure, reserve policies, custody arrangements, and formal licensing approach are likely still being worked through.

What remains unclear is which jurisdictions the issuer would cover first, whether the planned U.S. entity would seek a specific type of regulatory authorization, and whether the founding banks will be active customers, market makers, or predominantly backers. The reporting also does not name the candidates being considered for the chief executive role, or disclose the specific terms of the funding arrangement. Observers will likely watch for confirmations from participating banks, consortium governance updates, and any filings or regulatory steps associated with launching an issuer.