The fifth largest commercial bank in the United States recently did something quite explosive—they started testing their own issued stablecoin on Stellar.

Yes, you read that right. Traditional banking giants are no longer just bystanders; this time they are rolling up their sleeves and getting involved directly.

What are they trying? Moving the US dollar stablecoin to the public chain to handle real business scenarios such as cross-border settlements, supply chain payments, and clearing between institutions. The kind that maximizes efficiency.

Why choose Stellar specifically? The characteristics of this chain can be summed up in two words: practicality. The transaction speed is fast, and the fees are low enough to be negligible, and it is inherently designed for payments. For banks, the functionality of on-chain asset issuance is already quite mature, and there are no significant barriers to use.

There are several signals hidden behind this matter:
• Traditional financial institutions are accelerating their embrace of the on-chain world.
• Public chains are beginning to truly penetrate into real financial scenarios.
• The stablecoin sector may witness a direct confrontation from institutional players.

If banking giants and public chain stablecoins manage to play together, the rules of the game in the cross-border payment industry might be rewritten.

If more banks follow suit, the "institutional era" of stablecoins might really begin.