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Crypto Prune > News > Crypto > Altcoins > Polygon enables first US bank-issued stablecoin on public blockchain
Altcoins

Polygon enables first US bank-issued stablecoin on public blockchain

7 hours ago 4 Min Read
  • Polygon and Ethereum currently host eUSD, a bank-issued regulated US dollar stablecoin launched under the charter of the Telcoin Digital Asset Bank.
  • Telcoin will mint $10 million in eUSD and is targeting customer onboarding for personal and business accounts via Telcoin Wallet V5 in early 2026.

A US-chartered digital asset bank has issued a dollar-backed stablecoin on a public blockchain, and Polygon has been selected as one of the launch networks. Telcoin Digital Asset Bank deployed eUSD on Polygon and Ethereum, minting $10 million worth of tokens in its initial issuance. This release places Polygon at the center of what the company describes as the first US bank-issued stablecoin available on a public chain.

This development follows final approval granted last month by the Nebraska Department of Banking and Treasury. The bank’s issuance framework references the Nebraska Financial Innovation Act and aligns with the guidelines of the federal GENIUS Act, according to the announcement.

The project frames eUSD as a regulated “digital cash” stablecoin issued directly through a banking institution rather than a separate non-banking entity.

It is the first dollar-backed stablecoin for a US bank to be issued directly on a public blockchain.

Pursuant to the Nebraska Financial Innovation Act and in line with the guidelines of the federal GENIUS Act, Telcoin Digital Asset Bank has launched the eUSD stablecoin on Polygon.

A meaningful step… https://t.co/Lvx2PfCP0M

— Polygon | POL (@0xPolygon) December 29, 2025

News about Polygon’s launch described it as a milestone for U.S. banking on public blockchain rails. Meanwhile, the bank associated its first mint with the launch of early blockchain banking operations, describing the step as part of its transition to blockchain-native accounts in the United States.

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The initial launch will see eUSD live on-chain, but a broader product rollout will be phased in over the coming months.

As explained earlier, the polygon integrated Ethereum’s Fusaka EIP on the Madhugiri hard fork improves L1-L2 efficiency and strengthens security. This upgrade was published on December 9th in block 80,084,800 of the Polygon PoS mainnet.

eUSD rollout sets timeline for account onboarding in 2026

eUSD is currently available on both remittance and payment networks, and this launch is taking place as the first phase of the bank’s operations. Telcoin CEO Paul Neuner explained that the issuance in Ethereum and Polygon is the first step toward offering a blockchain-native bank account under the Nebraska Charter, with additional services planned as the platform continues to be built out.

Customer onboarding is expected to begin in early 2026 as personal and business accounts come online. Personal accounts will be available through the upcoming V5 release of Telcoin Wallet and are positioned as an access point for account functionality.

The bank has operational workflows in place to support regulated issuance and payment activities within the bank structure. The short-term focus is set on preparing for retail access, with the stablecoin serving as a means of payment for future account-based services.

Polygon is announcing new partnerships to support faster, lower-cost cryptocurrency transfers, including verified username-based payments to replace long addresses. As CNF previously reported, Mastercard partnered Extend Crypto Credentials to self-custodial wallets with Polygon and Mercuryo.

CNF also used to be covered Polygon CEO Sandeep Nailwal expects 2026 to be a pivotal year as Polygon expands on-chain, cross-border payments. He tied this push to recent deals with Revolut and Mastercard to support instant stablecoin transfers and access to crypto credentials for self-custodial wallets.

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Polygon’s POL trading price is $0.1033soak 1.8% in the past.

TAGGED:AltcoinsAltcoins News
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