SoFi launches stablecoin settlement for $25B Mastercard card program

stablecoin settlement blockchain payments SoFiUSD Mastercard network bank-issued stablecoin

SoFi Technologies and Mastercard have officially launched stablecoin settlement for SoFi Bank's debit and credit card transactions. This move integrates the bank-issued SoFiUSD stablecoin into Mastercard’s global payments network, making SoFi the first nationally chartered U.S. bank to utilize stablecoin settlement on this network.

SoFi is migrating its entire card program, which is expected to process an annualized volume of over $25 billion, to this blockchain-based settlement mechanism. While consumers will continue to use traditional cards and payment terminals without noticing a change, the backend settlement layer will transition from traditional banking rails to blockchain technology.

Merchants using SoFi’s Big Business Banking platform can receive settlement funds directly into their SoFi Bank accounts. They can then withdraw these funds as cash 24/7 without incurring withdrawal fees. The companies are also exploring further applications for SoFiUSD, including cross-border payments and remittances.

SoFiUSD is issued by SoFi Bank, N.A., which is regulated by the Office of the Comptroller of the Currency (OCC). The stablecoin is redeemable 1:1 for U.S. dollars and is backed primarily by cash reserves. However, SoFi noted that SoFiUSD is not a bank deposit and is not covered by FDIC or SIPC insurance.

Entities

Anthony Noto · Mastercard · Office of the Comptroller of the Currency · SoFi Bank · SoFi Bank, N.A. · SoFi Technologies

Claims

What the coverage asserts, and how many sources carry each claim.

[● 8 SOURCES] SoFiUSD is the first stablecoin issued by a nationally chartered bank to be used for settlement across Mastercard’s network. crypto.news · blockcast.it · blockchainseoul.kr · phocapblockchain.net · www.tronweekly.com · +2 more
[● 7 SOURCES] Merchants can receive settlement funds in SoFi Bank accounts and withdraw them as cash 24/7 without fees. www.blockmedia.co.kr · crypto.news · blockcast.it · phocapblockchain.net · www.tronweekly.com · +1 more
[● 9 SOURCES] SoFi is migrating its entire card program, which is expected to process over $25 billion in annual volume, to blockchain-based settlement. www.blockmedia.co.kr · crypto.news · blockcast.it · blockchainseoul.kr · phocapblockchain.net · +3 more
[DISPUTED] SoFi Bank has begun using its SoFiUSD stablecoin to settle Mastercard debit and credit card transactions. www.blockmedia.co.kr · crypto.news
[● 7 SOURCES] SoFiUSD is redeemable 1:1 for U.S. dollars and is backed primarily by cash reserves. crypto.news · blockcast.it · blockchainseoul.kr · www.tronweekly.com · www.blockmedia.co.kr · +1 more
[● 5 SOURCES] SoFi and Mastercard are exploring the use of SoFiUSD for cross-border payments and remittances. www.blockmedia.co.kr · crypto.news · blockcast.it · news.bitcoin.com
[DISPUTED] SoFi Technologies and Mastercard have launched stablecoin settlement for SoFi Bank's debit and credit card transactions. blockcast.it · blockchainseoul.kr · phocapblockchain.net · www.tronweekly.com · www.blockmedia.co.kr · +4 more