Western Union has joined the stablecoin race following the end of the historic “Crypto Week” and the recent passage of key legislation. The company is reportedly set to tap into digital assets for faster cross-border payments.
Western Union Eyes ‘Opportunity To Innovate’
On Monday, Western Union CEO Devin McGranahan said that the company is exploring a path to integrate stablecoins into its services worldwide as interest in the sector continues to grow.
In an interview with Bloomberg, McGranahan affirmed that stablecoins aren’t a threat to the company, but “one more opportunity to innovate,” adding that the sector offers three “real” opportunities for Western Union and its customers.
According to the CEO, integrating these assets offers a path for faster cross-border payments. It also provides an opportunity for conversion between fiat currencies and stablecoins, particularly in countries where local currency conversions are harder. Additionally, the company could offer stablecoins as a store of value to their customer worldwide.
McGranahan detailed that the company is already innovating new settlement processes to “move money quicker and to more easily convert into local currency” in different places, including South America and Africa.
Moreover, Western Union is exploring partnerships with infrastructure companies to enable buying and selling these digital assets through their platform and how it could offer stablecoin products in its digital wallets to its customers:
We are also exploring other partnerships with people who want on-ramps and off-ramps in different parts of the world and how we could enable Western Union’s funds in and funds out to enable people to purchase and sell Stablecoins.
More Companies Prepare Stablecoin Integration
McGranahan’s remarks come just days after US President Donald Trump signed the Guiding and Establishing National Innovation for US Stablecoins (GENIUS) Act into law last Friday.
The legislation is set to establish a clear regulatory framework for stablecoins, allowing tokens like USDT and USDC to fall under the Federal Reserve rules and enable the sector’s growth in the US.
Standard Chartered Bank has estimated that the stablecoin market, valued at $268 billion, could expand to $2 trillion by 2028. Similarly, White House Crypto Czar David Sacks forecasted that the sector could reach a $3 trillion valuation in the coming years once legislation was passed.
MARA CEO Fred Thiel considers that the US is taking a leadership position globally following the GENIUS Act’s passage, adding that it will be “very helpful for providing trust” to the sector and allowing the market to “move much freer.”
Notably, several major US banks, including Bank of America (BofA) and Citibank, are also exploring the sector amid the US regulatory shift. BofA’s CEO, Brian Moynihan, recently confirmed the bank is developing its stablecoin.
In January, Moynihan affirmed that the US banking industry was ready to embrace digital asset payments and banks would “come hard” to crypto if the US regulatory landscape allowed it.
Bitcoin (BTC) is trading at $119,100 in the one-week chart. Source: BTCUSDT on TradingView
Featured Image from Unsplash.com, Chart from TradingView.com
Editorial Process for bitcoinist is centered on delivering thoroughly researched, accurate, and unbiased content. We uphold strict sourcing standards, and each page undergoes diligent review by our team of top technology experts and seasoned editors. This process ensures the integrity, relevance, and value of our content for our readers.
Leave a Comment