Stripe, Visa, Mastercard launch stablecoin platform with Coinbase interest
In brief
- Stripe, Visa, and Mastercard launching joint stablecoin platform
- Coinbase exploring participation in the initiative
- Payment giants push into stablecoin infrastructure amid $325B market
- Competition intensifies against Tether's USDT dominance
Payment Giants Move Into Stablecoins
Stripe acquired stablecoin infrastructure firm Bridge in late 2024 for $1.1 billion, signaling serious intent in the space. Mastercard acquired stablecoin firm BVNK earlier this year and announced plans to expand always-on stablecoin capabilities. Visa announced expansion of a stablecoin settlement pilot to nine blockchains in April, including Base and Polygon.
These acquisitions and pilots lay the groundwork for a unified platform. Payment networks see stablecoins as a way to streamline cross-border settlement and reduce friction in crypto payments. The three companies bring complementary infrastructure and distribution reach to the table.
Coinbase's Role and Market Dynamics
Coinbase announced a white-label stablecoin service and Coinbase Business service for stablecoin payments late last year. The exchange already has deep ties to the stablecoin ecosystem. Since August 2023, Coinbase and Circle Internet have had a revenue-sharing agreement, set to renew in August. Under the deal Coinbase keeps 100% of the interest income generated from USDC held on the exchange.
Stablecoin market concentration remains steep. The market is dominated by Tether's USDT, at $115 billion. USDC has a market cap of $76 billion. A new platform backed by major payment networks could reshape that landscape, offering institutional-grade infrastructure and regulatory credibility that rivals may lack.
