From Pymnts · PYMNTS · · 1m 10s
Stablecoins Changed Rails But Not Economics
Stablecoins now control payment flow but not banking economics.
In brief
Stablecoins now control payment flow but not banking economics. Stablecoins are becoming payment infrastructure without capturing banking economics. Originally reported by Pymnts.
Stablecoins Changed Payment Rails
Stablecoins spent years trying to prove they could move money better than banks and have succeeded.
SoFi Migrates $25 Billion Card Program
SoFi Technologies began using its own stablecoin to settle transactions across a card program expected to process more than $25 billion annually.
Binance Invests in Circle
Binance invested $100 million in Circle while signing a five-year agreement to expand USDC.
Central Banks Push Regulatory Changes
The European Central Bank and the European Union’s national central banks pushed for changes to the way stablecoin reserves interact with commercial banks.
Canada’s Banks Explore Tokenized Deposits
Canada’s six largest banks announced plans to explore their own tokenized deposit network.
Stablecoins as Payment Middleware
Stablecoins can become internal settlement technology beneath cards, bank accounts and payment interfaces.
Tokenized Deposits Preserve Banking Economics
Tokenized deposits represent regulated bank deposits held on blockchain infrastructure without changing the economic relationship.
The takeaway
Stablecoins are becoming payment infrastructure without capturing banking economics.
