SoFi Bank launches stablecoin

SoFi has become the first US national bank to issue a stablecoin on a public, permissionless blockchain. The SoFiUSD fully reserved US dollar stablecoin is designed to let the bank's parent - fintech giant SoFi - serve as a stablecoin infrastructure provider for other lenders, fintechs, and enterprise platforms.

With SoFiUSD on a public, permissionless blockchain, partners can move funds around the clock with near-instant settlement at fractional-cent pricing. This enables them to manage liquidity with more confidence and deliver faster and more transparent services to their customers, says the firm.

SoFiUSD will be used in settlement not just of its crypto trading business, but can be used by card networks, retailers, or businesses that want 24/7 settlement safer, faster, and at a lower cost.

SoFiUSD will also be a key element of SoFi Pay for international remittance and everyday consumer point-of-sale purchases. And for companies operating in countries with volatile currencies, SoFi plans for SoFiUSD to be used as a secured dollar-denominated asset in a consumer debit or secured credit account.

Last month, SoFi became the first national bank to offer crypto trading to consumers, letting members buy, sell, and hold nearly 30 coins.

Anthony Noto, CEO, SoFi, says, “Companies today struggle with slow settlement, fragmented providers, and unverified reserve models. SoFi is helping address these gaps by combining our regulatory strength as a national bank with transparent, fully reserved on-chain technology to provide a safer and more efficient way for partners to move funds."