As stablecoins rapidly gain mainstream acceptance in the financial sector, Tassat, a fintech company that participated in the development of Signature Bank's Signet blockchain payment network, is attempting to bring more small and medium-sized U.S. banks into the market. The company has launched Project NENYA, a stablecoin reserve management platform aimed at helping regional and mid-sized banks take over reserve funds from stablecoin issuers.
Scheduled to launch in early 2027.
Tassat states that this platform is also known as the "Intelligent Reserve Management and Execution Engine." The company has simultaneously released a project white paper and expects to launch a pilot program in the first half of 2027, followed by a formal launch in early 2027.
According to the company, many small and medium-sized banks want to participate in stablecoin-related businesses, but often lack the technical systems, compliance capabilities, and dedicated teams, and are also unclear about how to price such reserve deposits. Project NENYA aims to provide support in these areas, lowering the barriers to entry for banks.
Targeting excessive concentration of reserve funds
Tassat believes that as the stablecoin market continues to expand, a long-term concentration of reserve funds in a few large or specialized institutions could amplify liquidity and deposit risks. CEO Glen Sussman stated that if the stablecoin market reaches trillions of dollars in the future, the reserve system cannot remain confined to a small circle of banks.
This statement comes as US stablecoin legislation progresses and Wall Street institutions and banks accelerate their related preparations. Citigroup previously predicted that the stablecoin market could reach approximately $4 trillion by 2030. Tassat hopes to use this window to allow more small and medium-sized banks to participate before large banks fully enter the market.
The platform does not run directly on the blockchain.
Tassat states that Project NENYA itself will not be built directly on the blockchain, but will connect to tokenized asset networks and tokenized deposit networks. The company believes this design can reduce the technological burden on small and medium-sized banks and is more in line with their existing operating conditions.
Sussman also stated that if stablecoin infrastructure is ultimately controlled by only a few large banks, a large number of U.S. banks could be excluded. This would not only affect industry competition but could also lead to broader financial system problems.
From a business perspective, Tassat is not betting on issuing stablecoins themselves, but rather on providing connectivity capabilities around reserve management. As stablecoins gradually penetrate the payment and banking systems, the question of who will custody and allocate the underlying reserve funds is becoming a new focus of competition.
