Robinhood, Revolut Explore Joining $170 Billion Stablecoin Field

Companies from Robinhood Markets Inc. to Revolut Ltd. are considering launching stablecoins, betting that stricter regulations in Europe and elsewhere will finally loosen Tether Holdings Ltd.’s grip on the rapidly expanding $170 billion digital-asset sector.

Robinhood and Revolut, two of the most valuable fintechs, have both been kicking the tires on issuing their own stablecoins, but the firms could still opt not to proceed, said people with knowledge of the matter. They asked not to be identified discussing confidential information.

Upstarts have tried to compete with Tether’s USDT for years, with most having little to show for it. Circulation ...