Tassat Builds Stablecoin Reserve Platform To Help Smaller Banks Compete

Tassat, the fintech firm behind Signature Bank’s former Signet blockchain payments network, is building a stablecoin reserve management platform. The platform is aimed at helping regional and midsize U.S. banks compete for stablecoin reserves as the sector is projected to grow into a multi-trillion-dollar market.

The company unveiled Project NENYA, also called its Smart Reserve Management and Execution Engine, on Thursday alongside a white paper outlining the initiative. Tassat said it expects pilot programs to begin in the first half of 2027, ahead of a full platform launch later that year.

Smaller Banks Lack Infrastructure To Compete

The project targets smaller banks that often lack the technology, compliance infrastructure, and staff needed to service stablecoin issuers directly. It is designed to connect regulated stablecoin issuers with banks through a shared marketplace for allocating reserves across cash deposits and tokenized high-quality liquid assets.

Participating banks would be able to bid for deposits, while issuers could spread reserves across multiple institutions and monitor pricing, liquidity, and counterparty exposure through the platform.

Tassat CEO Glen Sussman said the platform responds to demand he has heard directly from banks that want to participate in stablecoin reserve management but lack the tools to do so. Sussman said:

“There are banks saying: ‘We would love to participate in this. We don’t have the infrastructure. We don’t have the compliance. We wouldn’t even know how to price these reserve deposits.'” 

Stablecoin Growth Raises Concentration Concerns

The announcement comes as stablecoins move further into mainstream finance following the passage of the GENIUS Act. Wall Street firms and banks are expanding stablecoin initiatives, while a bank research projection has put the stablecoin market at roughly $4 trillion by 2030.

Sussman said concentrating reserves among a small number of large institutions could create liquidity and deposit risks as the market scales. He argued that spreading reserves more broadly across the banking system would help the market absorb growth without compounding risk on any single set of institutions.

“If you assume stablecoins scale to $5 trillion or $10 trillion, then there has to be something that helps the market reach equilibrium. It can’t just live in a really small circle because that will compound the risk on both sides.”

Platform Design Avoids Blockchain For Bank Participants

The platform itself will not run on a blockchain, though Tassat plans to connect it with tokenized asset and deposit networks separately. Sussman said that design choice lowers the technical burden for smaller banks that may not have blockchain infrastructure of their own.

He framed the effort partly in terms of the broader banking system’s stability, saying a large share of U.S. banks could otherwise be excluded from a growing part of the financial system. Sussman said:

“There is a real risk that vast swaths of the U.S. banking ecosystem get left out in the cold. I don’t think that’s healthy politically for the United States. I don’t think it’s healthy economically.”

What Comes Next

Tassat’s pilot programs are expected to begin in the first half of 2027, ahead of a full platform launch later that year. The company has not yet named specific bank or stablecoin issuer partners committed to the pilot phase, and the timeline depends on regulatory and technical work that remains ongoing as of the announcement.

The initiative places Tassat in a market where large banks and specialist stablecoin infrastructure providers have generally moved fastest to build reserve management capabilities. It remains unclear whether regional and midsize banks will adopt a shared platform in meaningful numbers. How stablecoin issuers weigh working through an intermediary marketplace against building direct relationships with individual banks also remains an open question.