Stablecoins surpass Visa and Mastercard for internet payments, gaining popularity and adoption in financial industry
From Cointelegraph
June 29, 2025 10:07 AM:
Stablecoins are now the preferred method of internet payments, surpassing major card networks in onchain volume. Alchemy’s head of engineering, Noam Hurwitz, highlighted the explosive adoption of stablecoins, with companies like PayPal and Stripe integrating them for faster and cheaper transactions.
Stablecoins have revolutionized money transfers, becoming popular for cross-border payments and prediction markets. Tether alone generated $13 billion in profits last year and holds around $113 billion in US Treasurys, making it a key player in the tokenized financial system.
Despite challenges from a fragmented blockchain landscape, stablecoins are already functioning as the default rails for internet payments. Institutions like JP Morgan are launching tokenized bank deposits on public blockchains, signaling a major milestone in the industry’s evolution.
The US Senate recently passed the GENIUS Act, establishing federal regulations for stablecoins. Noam Hurwitz emphasized the importance of regulatory clarity for financial players while also highlighting technical bottlenecks that need to be addressed for better user experiences.
Looking ahead, Hurwitz predicts that most financial services will deploy their own blockchains to scale and monetize their ecosystems. He foresees infrastructure improvements leading to seamless crosschain interoperability, creating a more connected and efficient financial system centered around stablecoins.
However, a new report from the Bank for International Settlements challenges the notion that stablecoins can serve as money in the modern financial system. The report claims stablecoins fail singleness, elasticity, and integrity tests, likening them more to digital bearer instruments than actual money.
Read more at Cointelegraph: Stablecoins Outpace Visa, Mastercard in Onchain Payments: Alchemy