- Stripe holds early discussions with banks about adding stablecoins to traditional financial products, following its expanded offerings.
- Collison warns London risks falling behind if UK delays stablecoin rules, as firms seek clearer jurisdictions.
Stripe is holding initial discussions with banks. The talks focus on adding stablecoins to conventional banking products. This information comes from a Bloomberg report.
These discussions follow recent actions by Stripe. The company is expanding its stablecoin services. One service allows fintech firms to issue cards linked to stablecoins quickly. Stripe co-founder John Collison told Bloomberg that banks now view stablecoins seriously. Banks are actively investigating methods to include them in their offerings.
Approximately $243 billion worth of stablecoins currently circulate. Interest in utilizing them for actual payments is growing. Collison highlighted a potential benefit. Stablecoins could reduce expensive and slow fees for international money transfers. He stated that stablecoins will likely handle much of Stripe’s future payment volume. Collison described them as a core element of Stripe’s business going forward.
Stripe recently purchased the stablecoin platform Bridge. The acquisition cost $1.1 billion. Bridge now operates as part of Stripe. It has launched its own stablecoin named USDB. Bridge also partnered with Visa. This partnership created a global card enabling users to spend stablecoins like regular money. Separately, Stripe activated stablecoin accounts accessible in more than 100 countries.
Other major companies, including PayPal, Visa, and FIS, are pursuing similar paths. Regulators in the United States, United Kingdom, and European Union are considering new rules for stablecoins. Collison issued a warning regarding the UK. He suggested London could lose ground if UK authorities do not establish regulations promptly.
Companies might relocate operations to countries offering clearer legal frameworks, he noted. Stripe provides services to over 1 million businesses in the UK. This includes nearly half of the companies listed on the FTSE 100 index. The company is currently increasing its workforce dedicated to stablecoin projects worldwide.
