SoFi is migrating its full card program to blockchain-based settlement , with the program expected to process more than $25 billion in annualized volume using SoFiUSD. SoFi and Mastercard announced that stablecoin settlement is now live across SoFi Bank, N.A.’s debit and credit card program. The launch brings settlement through SoFiUSD, issued by a federally regulated bank, to Mastercard’s global payments network.
SoFi Bank is migrating its entire $25 billion card program to stablecoin settlement of transactions using SoFiUSD. Transactions are live on the blockchain. The launch expands how card issuers, acquirers and merchants can manage settlement and liquidity through existing payment infrastructure.
SoFi CEO Anthony Noto said merchants do not need to hold stablecoins, build new infrastructure or change their operations. Through SoFi’s Big Business Banking platform, merchants can receive settlement funds instantly in a SoFi Bank account and withdraw to cash around the clock at zero cost. Mastercard said the launch brings regulated stablecoin settlement into a live production environment while preserving its trust, scale and safeguards.
SoFiUSD is issued by SoFi Bank, N.A., an OCC-regulated , nationally chartered bank. It is fully redeemable 1:1 for U.S. dollars and supported primarily by cash reserves, with availability for institutional use and SoFi members. SoFi is discussing settlement arrangements with large U.S. merchants and will explore cross-border payments, remittances and other money movement applications with Mastercard.