Tennessee bankers pick Stablecore as digital asset push grows

The Tennessee Bankers Association has named Stablecore as a preferred digital asset technology provider, giving member banks access to stablecoin, tokenized deposit, and crypto-backed lending infrastructure.

The move gives Stablecore a path to serve more than 175 member institutions in Tennessee. It also shows how regional banks are looking at digital assets through outside providers instead of building systems from scratch.

In a Tuesday announcement, Stablecore said the partnership will let Tennessee banks offer digital asset products inside their existing banking systems. The company supports stablecoin accounts, payment acceptance, digital asset accounts, on- and off-ramps, tokenized deposits, and asset-backed lending.

Tennessee Bankers Association President and CEO Colin Barrett said infrastructure partners play a role as banks adjust to new customer needs. He said customers would benefit from digital asset tools inside the “secure and trusted environment of their local bank.”

Stablecore CEO and co-founder Alex Treece said banks need a way to offer these services while staying compliant. He said “operationalizing digital asset programs” is an important step for banks this year as they try to retain customers.

Stablecore expands through banking networks

The Tennessee deal follows Stablecore’s entry into the Jack Henry Fintech Integration Network. That network gives fintech firms a faster route to connect with Jack Henry’s bank and credit union core clients.

Jack Henry said the network supports direct fintech connections to its core platforms and helps banks deploy new services faster. It also noted that membership in the network does not mean Jack Henry recommends or endorses each fintech product.

Stablecore’s earlier announcement said the Jack Henry link gives it access to about 1,670 bank and credit union core clients. It also connects to more than 1,000 institutions using the Banno Digital Platform.

Stablecoin rules remain under debate

The bank endorsement comes as U.S. lawmakers continue talks over digital asset market structure and stablecoin rules. Banks and crypto firms have focused heavily on whether stablecoin rewards could pull deposits away from traditional lenders.

In related coverage, banking groups warned that a stablecoin yield loophole could drain deposits from Main Street banks. They urged Congress to close paths that allow crypto platforms to offer yield-like rewards through third parties.

Another recent report said Coinbase opposed Senate language that could restrict stablecoin rewards. Banking groups argued that such rewards may weaken deposits, while crypto firms said rewards remain part of their business model.

For smaller banks, the Stablecore deal offers a way to test digital asset services without running separate crypto systems. That approach may appeal to community lenders that want new products but lack large internal technology teams.