Banks Eye G7-Pegged Stablecoins; Solana ETF Paused

Two clear, verified developments this week have immediate relevance for crypto participants and FX-oriented traders: a consortium of major banks announced work on stablecoins tied to G7 currencies, and the U.S. Securities and Exchange Commission put short‑term ETF approvals — including a spot Solana ETF — on hold due to a government shutdown.

Banks announce exploration of G7‑pegged stablecoins

What was announced

Several leading banks disclosed a coordinated effort to study issuing fully backed stablecoins denominated 1:1 to G7 currencies (USD, EUR, JPY, GBP, CAD, AUD, CHF). The initiative emphasizes custody, auditability, compliance and operational risk controls rather than immediate commercial rollouts. Participating firms cited include major global financial institutions that provide broad custody and cross‑border payment services.

Why this matters for crypto and FX rails

Tokenized, bank‑backed fiat could change on‑chain liquidity and settlement dynamics in three concrete ways:

• On‑chain fiat liquidity may deepen for G7 pairs, creating tighter price execution between tokens denominated in major currencies.
• Established private stablecoins (e.g., USD‑pegged issuers) face clearer regulatory and commercial competition from bank products built to integrate with traditional banking rails.
• Institutional settlement use cases — tokenized cash for collateral, cross‑border treasury flows, and faster FX hedging via programmable money — become more practical if banks provide fully reserved, compliance‑first tokens.

These effects are practical and structural: they change how fiat value is represented on ledgers and how desks route fiat liquidity across on‑chain and off‑chain rails. Timelines remain uncertain because the announcement focuses on exploration, governance and regulatory alignment rather than immediate issuance.

SEC pause delays Solana spot ETF decisions

What happened

During the recent U.S. government shutdown procedures, the SEC implemented contingency plans that suspend routine reviews of new financial products. That suspension includes pending decisions on spot crypto ETFs — notably an anticipated decision on a U.S. spot Solana (SOL) ETF — which are now delayed until normal agency operations resume.

Immediate impact on SOL

The practical outcome is straightforward: a near‑term, high‑visibility catalyst for SOL has been removed from the calendar. Price action tied to potential U.S. ETF approval will likely pause until the SEC resumes reviews. This does not change Solana’s fundamentals or on‑chain activity, but it does defer a demand infusion that some market participants expected if spot ETF approvals had proceeded.

Concise trader take

Short term: monitor official timelines from participating banks and SEC staffing notices. Bank‑issued G7 stablecoins could shift institutional flows from incumbent stablecoins and alter FX hedging flows on chain; watch spreads between tokenized fiat pairs and traditional FX quotes for early signs. For SOL: expect muted ETF‑driven flows until the SEC resumes reviews — watch liquidity and options skew for signs of positioning changing around the paused decision.

Sources: public announcements from participating banks on a G7 stablecoin initiative and SEC notices regarding review pauses during a government shutdown (reported Oct 10–11, 2025).