The summer of stablecoins heats up, with Airwallex sparking debate on the efficiency of stablecoins

Author: Cobo

The summer of stablecoins is heating up, and its heat comes not only from growth data, but also from two completely different market voices. This weekly report will feel the development momentum of stablecoins from these two directions.

On one hand, there is cautious wait-and-see from the traditional financial technology field. The founder of the financial technology company Airwallex recently proposed a discussion on the "efficiency advantage" of stablecoins, believing that modern payment systems are already quite efficient. This perspective may underestimate the innovative nature of stablecoins - the value of stablecoins lies not only in transaction speed or cost, but also in its characteristics as programmable currency, which enables settlement, profit sharing and permission control to be directly embedded in the assets themselves. This kind of discussion just reflects the signal that new technologies are beginning to touch the boundaries of traditional systems, and it is also a natural phenomenon in the innovation cycle.

On the other hand, there are visible landing actions. Stripe is opening up the last mile of stablecoin payment from the backend to the frontend through the acquisition of Privy; Shopify has begun to connect merchants to USDC payment; and the cooperation between X platform and Polymarket has introduced crypto assets into the internal economic cycle of "super applications". The focus is no longer on issuing stablecoins themselves, but on building the most powerful ecosystem and distribution system around them.

In emerging markets, the competition is more direct and cruel. Tether launched a dedicated chain Plasma, hoping to reduce its dependence on Tron. But Tron has become the de facto standard for "street dollars" with more than 50% of USDT circulation and extremely low costs. So the problem becomes a pure startup problem: how do you convince a user group that is already deeply dependent on the existing network to migrate to a new, unproven system? This itself has little to do with technology, it is a trust threshold, and it is also the real opportunity for crypto payments.

It can be said that as an emerging product, stablecoins are still in the development stage. Its current situation has the typical characteristics of most new technologies in the early stages: some people are using it to build the future, while others think it is not perfect enough. At the same time, on the other side of the world, stablecoins are solving the most basic problems in an unexpected way. This is a huge "schlep" and a huge opportunity.

Market Overview and Growth Highlights

The total market value of stablecoins reached $251.08b (251.1 billion US dollars), a weekly increase of $1.42b (about $1.42 billion). In terms of market structure, USDT continues to maintain its dominant position, accounting for 62.14%; USDC ranks second, with a market value of $60.8b (about $60.8 billion), accounting for 24.22%.

Blockchain network distribution

The top three stablecoin networks by market value:

• Ethereum: $124.632b (US$124.6 billion)

• Tron: $79.039b (US$79 billion)

• Solana: $11.113b (US$11.1 billion)

TOP3 networks with the fastest weekly growth:

• XRPL: +37.82% (RLUSD accounts for 94.32%)

• The core of this series of actions is to use its widely distributed global network of millions of merchants to solve the problem of the "last mile" of stablecoins. Imagine that when any user holding USDC can seamlessly consume at a large number of Stripe merchants, and the merchants receive the local fiat currency they are familiar with, the value of stablecoins as a means of payment can be truly released. The key to achieving this "senseless" experience is the "invisible" technology represented by Privy.

  Privy's "Embedded Wallet" (Wallet-as-a-Service) product feature allows developers to easily integrate non-custodial wallets, and users do not need to manage complex operations such as mnemonics, and the experience is no different from traditional network accounts. This perfectly fits with Stripe's mission to simplify complexity for developers.

  Looking back at the history of human technology, the popularization of new technologies often requires a strong "bridge" to simplify complexity. Stripe is playing a key role as a bridge for stablecoins to enter the mainstream market. When a huge business network opens its doors to stablecoins, a powerful flywheel effect will be activated: more application scenarios attract more users to hold stablecoins, and the huge user base prompts more businesses to join.

  By completely "hiding" the complexity of the crypto track behind familiar APIs, Stripe marks a fundamental shift in the adoption model of stablecoins - from "technology-driven" dominated by crypto-native companies to "market-driven" led by mature payment service providers.

  This time, mainstream crypto adoption may really be here.

  Stablecoin-specific blockchain  Plasma: USDT's Declaration of Independence

  Although stablecoins have been verified as the "killer application" with the highest product-market fit in the crypto industry, dedicated chain-level infrastructure built around core assets such as USDT is still scarce. Plasma is one of the few exceptions - a high-performance blockchain born for USDT and designed specifically for stablecoin payment scenarios.

  Plasma's architecture revolves around a core goal: to push the stablecoin payment experience to the limit - zero handling fees, no additional token requirements, users can complete payments and transfers with USDT itself. This design makes USDT a "first-class citizen" on the chain.

  Behind it are the funds and resources of Tether and Bitfinex: exclusive channels, customized protocols, Bitcoin-level security anchoring mechanisms, and the native stablecoin USDT₀ that is unified across the entire chain - this is an on-chain asset that implements the underlying abstraction around USDT.

  In contrast, Circle's path. It supports the circulation of USDC between multiple chains such as Ethereum, Solana, and Arbitrum through the CCTP cross-chain protocol. However, the user experience after each bridge is still limited by the performance, cost, and interaction threshold of the target chain. Circle is more like an "adapter" of the encrypted multi-chain ecosystem.

  Tron's moat: deeper than imagined

  However, the biggest challenge facing Plasma does not come from Circle, but from having to engage in an unequal head-on confrontation with Tron.

  More than 50% of the USDT in circulation worldwide runs on the Tron network. In the world of "street dollars", TRC20-USDT is the de facto standard. This dominance comes from the extremely low-cost strategy adopted by Tron during its critical development period: staking a small amount of TRX to obtain "energy" and achieve almost free transfers. This is a rational choice for small-amount, high-frequency payment scenarios in emerging markets. This strategy has cultivated a large user base and deep-rooted usage habits over the years, making Tron the default network for capital circulation for OTC dealers, P2P merchants, and small traders in Southeast Asia, Latin America, Africa, Eastern Europe and other regions.

  

  More than 50% of the USDT in circulation worldwide runs on the Tron network

  The cruel reality of "Good Enough"

  Tron's core users are not DeFi Farmers pursuing the latest technology, but "street dollar" users who need simple, reliable and cheap tools. For this demand, Tron's technology is good enough - fast enough, low cost enough, and easy-to-use wallets.

  Many of these business networks are built on offline interpersonal trust. If a new blockchain wants to replace Tron, it must not only provide better technology, but also replace the intricate social and commercial trust network that has been formed. Users have no strong motivation to bear the migration costs of learning new wallets, recording new mnemonics, changing payment addresses, etc.

  Even if Plasma surpasses Tron in technology, it cannot easily replicate the huge network effect, deep commercial penetration and solid user habits that the latter has accumulated in specific markets over the years. Unless it can provide a comprehensive experience improvement of more than 10 times, it will be difficult to "Move On" this huge ecosystem that has already operated efficiently.

  The key to defeating Tron lies in whether Plasma can establish local trust in the emerging markets it dominates. Tether's attempt to get rid of its dependence on Tron indicates that the stablecoin infrastructure is facing the choice of "universal adaptation" and "vertical specialization". But the real test lies in whether it can win real users and transaction volume from this deeply rooted king.

  When Airwallex started discussing stablecoins, stablecoins are entering the next stage

  With the stablecoin issuer giant Circle ringing the bell on the New York Stock Exchange, the "stablecoin fever" has further heated up in the financial world. Once regarded as a professional tool in the crypto circle, it is gradually entering core financial scenarios such as clearing, liquidity, and corporate payments. Stablecoins are not only reshaping the cost structure, but also beginning to challenge the intermediary model of the traditional clearing system-this naturally triggered widespread discussion in the market.

  Recently, Jack Zhang, founder of the financial technology company Airwallex, has proposed thoughts on the practical application value of stablecoins. He pointed out that in the G10 mainstream currency area, modern financial technology has greatly improved the efficiency of cross-border payments, and the "faster and cheaper" advantages of stablecoins may not be obvious in some scenarios. Especially when funds need to be transferred to the traditional banking system, the additional costs may offset some of the advantages. In his view, the advantages of stablecoins may be more reflected in the "dollarization" needs of emerging markets.

  This view has its rationality, but it may underestimate the paradigm shift brought about by stablecoins.

  What stablecoins really want to reshape is not only the response speed of the payment interface, but also the clearing system behind it that is geographically closed, time-constrained, and has liquidity subcontracted. When we expand the concept of "cost" to the complexity of account management, capital occupation caused by funds in transit, and operational discontinuity caused by holidays, the value of a global unified, 7×24, dollar-based clearing layer far exceeds the simple comparison of transaction fees.

  More importantly, the most innovative feature of stablecoins is their "native programmability".

  A simple comparison of stablecoins and traditional fintech solutions in terms of "payment experience" is similar to the comparison between early smartphones and feature phones. The revolutionary nature of smartphones is not that it is a "better phone", but that it is a computing platform connected to the Internet, which has spawned a new application ecosystem. Similarly, stablecoins are not only "more efficient currencies", but also a "programmable value carrier". This means that settlement logic, financial profit sharing, and real-time financing can all be embedded in the assets themselves, simplifying the intermediary links and approval processes. This innovative direction is difficult to fully realize even with the continuous optimization of traditional financial technology.

  When professionals in the financial field begin to seriously study how to integrate with this new system, this itself is the most honest signal given by the market. Stablecoins are the future and the "smartphone" of the next generation of value Internet.

  The real future lies in understanding and integrating the advantages of the old and new paradigms. Both traditional financial institutions and innovative financial technology companies need to think about how to find their own position in this change.

  Macro Trends

  Analysis: Tether's valuation could reach $515 billion if it goes public, CEO says it's "even conservative" considering the growth of Bitcoin and gold reserves

  Quick Highlights

  • Artemis co-founder and CEO Jon Ma analyzed that if calculated based on Circle's current valuation multiple of 69.3 times EBITDA, Tether's market value could reach $515 billion after its listing, surpassing Coca-Cola and Costco to become the world's 19th largest company;

  • Tether CEO Paolo Ardoino responded that this was a "beautiful number", but considering the company's growing Bitcoin and gold reserves, the valuation "may be a bit conservative";

  • Tether's net profit in 2024 reached $13 billion ($7 billion from Treasury bonds and buybacks, and $5 billion from unrealized gains on Bitcoin and gold holdings), and EBITDA is expected to be approximately $7.4 billion in 2025.

  Why it matters

  • Circle's successful listing provides a market reference for the valuation of stablecoin issuers, although the current multiple of 69.3 times EBITDA is considered "crazy and unsustainable." Tether's potential valuation reflects the market's high recognition of the stablecoin business model, especially the considerable interest income generated in a high-interest environment. Unlike traditional financial institutions, Tether creates additional growth potential for the company by holding Bitcoin and gold as part of its reserves. Ardoino's response also suggests that Tether may be considering a listing path, which will bring more institutional recognition and regulatory clarity to the entire crypto industry, further promoting the mainstreaming of stablecoins in the global financial system.

  Capital layout

  Anduril founder Palmer Luckey will invest in stablecoin startup Atticus, with a minimum valuation of US$1.5 billion

  Quick overview of key points

  • The secretive stablecoin financial startup Atticus is negotiating a new round of financing with a valuation of between US$1.5 billion and US$2 billion, led by Palmer Luckey, co-founder and CEO of US defense technology company Anduril;

  • Atticus was founded by Owen Rapaport and Jacob Hirschman and currently has no official website. Existing investors include Haun Ventures, whose partner Diogo Monica is Anchorage Digital, the first federally licensed crypto-native bank in the United States One of the founders;

  • If the financing is completed, Atticus will become the first new stablecoin "unicorn" company this year, marking the growing integration of stablecoins with traditional finance.

  Why it matters

  • Investors are betting that stablecoins are about to go mainstream. Palmer Luckey's participation as the founder of VR giant Oculus and the leader of defense technology company Anduril shows the strong interest of traditional technology and defense industry capital in the stablecoin industry.

  Former Adyen executives co-founded stablecoin payment company Noah, raising $22 million

  Quick overview of key points

  • Thijn Lamers, former executive vice president of global sales at Adyen, co-founded stablecoin startup Noah and served as president. This industry veteran transformed from an investor to a co-founder, and "voted with his feet" on behalf of executives of traditional payment giants to support stablecoin technology;

  • Noah aims to build a new global payment and clearing network based on stablecoins, provide enterprise-level USDC payment solutions and developer APIs, and create a 24/7 programmable value circulation network that bypasses the traditional banking system;

  • The company has supported 50 currency conversions and real-time fund transfers between 70 countries, with a transaction volume of over 1 billion.

  Why it matters

  • Lamers' move from Adyen to Noah represents a paradigm shift in the payment industry. If Adyen's mission is to "integrate and optimize the old rails" (integrate the world's fragmented payment systems through a one-stop platform), then Noah's mission is to "design and build new rails." This talent migration suggests that the optimization of traditional payment systems has reached its limit, and the new financial infrastructure based on stablecoins is the area with the greatest growth potential in the next decade. Noah not only provides technology, but also brings compliance expertise and business networks, which are the elements necessary for stablecoin payments to move from theory to mainstream adoption. As the industry moves from the early stage of disruption to the mature construction stage, the addition of veterans such as Lamers gives stablecoin payments unprecedented commercial credibility, indicating that this technology is ready to become a core component of the next generation of global financial infrastructure.

  Circle's stock price continues to soar, and two ETF products are in preparation

  Quick Overview

  • Bitwise and ProShares simultaneously submitted ETF applications related to Circle (CRCL) on June 6 to seize this hot asset market;

  • The ETF product that ProShares plans to launch aims to provide 2 times the daily performance of Circle stocks, using leverage strategies to amplify investment returns;

  • Bitwise's ETF adopts a covered call strategy to generate additional income by holding CRCL shares and selling call options.

  Why it matters

  • Circle's stock price continued to soar after its IPO, rising another 9% on Monday, and its stock price has nearly quadrupled since its listing last week. The rapid submission of relevant product applications by two well-known ETF issuers reflects the strong interest of institutional investors in mainstream stablecoin issuers. This also marks the further integration of cryptocurrency companies with traditional financial products, providing ordinary investors with a new way to indirectly participate in the cryptocurrency ecosystem through familiar ETF tools. Investors' enthusiasm for Circle is not only due to USDC's market position as the second largest stablecoin, but also because the stablecoin business model shows a relatively stable source of revenue and growth potential in the cryptocurrency industry.

  OpenTrade completes $7 million in financing with participation from a16z crypto, providing stablecoin yield solutions for countries with high inflation

  Quick Overview

  • British fintech company OpenTrade has completed a $7 million strategic financing round, led by Notion Capital and Mercury Fund, with participation from a16z crypto, AlbionVC and CMCC Global, bringing the total financing to $11 million in six months;

  • OpenTrade operates a "yield-as-a-service" platform designed for fintech applications, exchanges and emerging banks, enabling its customers to provide end users with up to 9% stablecoin returns on US dollars and euros;

  Why it matters

  • OpenTrade provides financial hedging tools for emerging markets suffering from inflation. In many high-inflation countries, the continued depreciation of local currencies has eroded residents' wealth, while traditional US dollar accounts are often restricted or cumbersome. OpenTrade's B2B2C model enables the rapid distribution of stablecoin yield services by empowering local fintech companies. The company's speed in raising $11 million in six months shows investors' strong confidence in the prospects for the application of stablecoins in economically unstable regions. This service not only provides individuals with a way to hedge against inflation, but also creates a new market for DeFi yields backed by real assets, while providing local fintech companies with a differentiated competitive advantage.

  Tether Invests $82 Million in Gold Investment Company Elemental Altus to Strengthen Precious Metal Reserve Strategy

  Quick Overview of Key Points

  • Tether's investment department acquired approximately 33.7% of the shares of publicly listed precious metal investment company Elemental Altus for 121.6 million Canadian dollars (approximately 89.2 million US dollars);

  • CEO Paolo Ardoino said the investment reflects Tether's "confidence in the fundamentals of gold and its key role in financial markets" and will provide strategic support for Tether Gold and future commodity-based digital asset infrastructure;

  • Tether calls the increase in gold exposure a "dual-pillar strategy," which is consistent with its holdings of more than 10 10,000 Bitcoins (worth $10.7 billion) in parallel.

  Why it matters

  • This investment marks Tether's active diversification of its stablecoin USDT's backing asset portfolio to physical assets and precious metals. With the upcoming US stablecoin regulatory framework, issuers need to ensure the compliance and diversity of their backing assets. JPMorgan Chase hinted earlier this year that Tether may need to sell some of its Bitcoin holdings to comply with proposed regulatory requirements. By increasing its exposure to gold, Tether not only improves the stability of its asset portfolio, but also lays the foundation for the possible launch of commodity-backed digital assets in the future. This move shows that Tether is strategically balancing its allocation of crypto assets and traditional hedging assets to cope with the changing regulatory environment and enhance the trust of USDT.

  Regulatory compliance

  Ant International plans to apply for stablecoin licenses in Singapore, Hong Kong and Luxembourg, and deploy cross-border payment and treasury management

  Key points

  • Ant International plans to apply for stablecoin issuance licenses in Hong Kong, Singapore and Luxembourg, and will submit applications immediately after the Hong Kong Stablecoin Ordinance comes into effect in August;

  • Ant Group processed more than $1 trillion in global transactions last year, one-third of which were completed through its blockchain-based Whale platform. Ant has currently signed cooperation agreements with more than 10 global banks, including HSBC, BNP Paribas, JPMorgan Chase and Standard Chartered;

  • The move is aimed at strengthening Ant's blockchain business to support its cross-border payment and treasury management services, which show growth potential due to the large number of transactions on Alibaba's e-commerce platform and external customers.

  Why it matters

  • Ant International's active layout of stablecoin business reflects the trend of global technology and financial giants entering the digital asset field. Since the IPO was suspended in 2020, Ant has been developing new businesses to drive growth, and international business has become an important development direction. Ant International has established an independent board of directors to pave the way for spin-offs and potential IPOs. According to Bloomberg, the department generated nearly US$3 billion in revenue in 2024 and achieved adjusted profitability for two consecutive years. At the same time, the global stablecoin industry has grown to about $243 billion, and regulators are actively formulating rules to address the risks of stablecoin collapse and money laundering. Ant's Whale platform supports a variety of tokenized assets of global banks and institutions, uses privacy computing technologies such as homomorphic encryption, and supports multi-party verification, which gives it a competitive advantage in the enterprise blockchain market. Following financial giants such as PayPal, Ant International's entry into the stablecoin field marks the further deepening of the integration of traditional finance and encryption technology, which may bring major changes to global payments and treasury management.

  South Korea's ruling party proposes to allow companies to issue stablecoins, and the bill has been submitted to the National Assembly

  Quick Overview of Key Points

  • South Korea's ruling Democratic Party has proposed a new policy to allow qualified companies to issue their own stablecoins, and has submitted the "Digital Asset Basic Law" to the National Assembly;

  • According to the proposal, companies must meet equity requirements and guarantee refunds through reserves, which aims to increase transparency in the cryptocurrency field and encourage competition;

  • The move comes at a time when interest in the global stablecoin industry is surging, partly due to progress in stablecoin regulation in the United States.

  Why it matters

  • The bill proposed by President Lee Jae-myung's party marks a major shift in South Korean crypto regulation and is expected to position the country as an Asian hub for stablecoin innovation. Allowing companies to issue stablecoins could lead to more competition in the payments space, especially given South Korea's already advanced digital payments infrastructure. The move also reflects a shift in the global regulatory environment toward accepting rather than restricting the development of stablecoins, which could further promote institutional adoption.

  Hong Kong's new stablecoin regulations, how can small teams find opportunities in a market dominated by giants

  Quick overview of key points

  • Hong Kong's stablecoin regulatory sandbox has cultivated "top student" projects such as JD.com and Yuanbi. These early entrants have been two years ahead of new entrants and have mastered complete system development, compliance processes and risk control systems;

  • Hong Kong regulations set high thresholds for stablecoin issuers, including a registered capital of HK$25 million, a local entity company, and sustained profitability, plus requirements such as 100% equivalence of reserve assets and strict separation of custodians, which basically excludes grassroots entrepreneurs;

  Why it is important

  • Hong Kong's stablecoin rules are leading the global regulatory trend. Although the issuance of licenses will be dominated by large financial institutions and technology giants, the service ecosystem around stablecoins provides rich opportunities for small and medium-sized teams. Entrepreneurs should turn to the "shovel selling" strategy and focus on five major compliance tracks: payment infrastructure (PayFi), compliance tool supply, cross-chain bridging services, stablecoin asset management and reserve asset management. These areas have high professional and technical requirements but relatively low capital thresholds, allowing small and medium-sized teams to share the dividends of the stablecoin market without directly competing with giants. As Hong Kong's stablecoin regulatory framework matures, these niches will become key bridges connecting traditional finance and the Web3 world.

  Market Adoption

  Stripe discusses stablecoin applications with banks, payment giants increase stablecoin business

  Key Points

  • Payment giant Stripe has held preliminary discussions with a number of banks to explore the potential application of stablecoins by banking institutions, showing that digital assets are playing an increasingly core role in global capital flows;

  • Stripe has recently launched a number of stablecoin-related products, including a platform that allows fintech companies to quickly launch stablecoin-linked card projects for customers. The current global stablecoin circulation is about US$243 billion;

  • Earlier this year, Stripe acquired the stablecoin platform Bridge for US$1.1 billion and now has about US$1 billion. Employees work on stablecoins and crypto businesses globally, with plans to expand hiring in San Francisco, New York, Dublin and London.

  Why it matters

  • The payments industry is rapidly embracing stablecoins, transforming them from pure crypto trading tools to conventional means of payment. Stripe President John Collison said that "a large number of payment transactions in the future will be completed through stablecoins," and this technology is expected to significantly reduce the cost and time of cross-border payments. At the same time, payment giants such as PayPal and Visa are also promoting stablecoin businesses, and banking technology providers such as FIS, Fiserv and Jack Henry are considering how to help customers use the technology. Against the backdrop of increasingly clear global regulatory attitudes, the UK, the US and the EU are all advancing stablecoin legislation. Collison warned that if the City of London does not speed up its regulatory framework, it will fall further behind in the stablecoin integration race.

  Deutsche Bank explores stablecoins and tokenized deposits, considering multiple options in parallel

  Quick overview of key points

  • Deutsche Bank is evaluating a variety of stablecoin options, including issuing its own tokens or joining industry joint initiatives, while considering developing its own tokenized deposit solutions for payments;

  • The EU's unified regulatory framework is in place, and US stablecoin legislation is being promoted in Congress. Global banks are actively exploring how to use such tokens and underlying blockchain technology to improve efficiency;

  • Deutsche Bank has strategically invested in cross-border payment settlement company Partior, participated in the Agorá project organized by BIS and the central bank, and cooperated with Swiss blockchain company Taurus to develop digital asset custody services for institutional clients.

  Why it matters

  • Large financial institutions have increased confidence in the expansion of the digital asset sector. Although many efforts have been going on for many years, there are still few large-scale practical applications. Now the industry is beginning to show early signs of customer adoption - JPMorgan Chase's Kinexys network processes more than $2 billion in transactions per day on average, and the network's transaction volume increased 10 times last year. Santander Bank has plans to provide stablecoin and cryptocurrency services to retail customers. Deutsche Bank's DWS Group is working with Dutch market maker Flow Traders and crypto fund Galaxy Digital to issue euro tokens. ING Group CEO also believes that "European stablecoins play an important role in digital world settlements", reflecting that traditional financial institutions are accelerating their strategic layout of digital assets.

  Societe Generale launches USDCV stablecoin, deployed on Ethereum and Solana

  Quick overview

  • Societe Generale's crypto department Société Générale-Forge announced the launch of USD CoinVertible (USDCV), a stablecoin for the US dollar, issued on both Ethereum and Solana blockchains;

  • Bank of New York Mellon (BNY Mellon) will serve as the asset custodian of the stablecoin, and USDCV trading is expected to start in July, but it will not be open to US users;

  • This issuance is a natural extension of the launch of the MiCA-compliant euro stablecoin EURCV in April 2023, aiming to provide 24/7 Seamless conversion between fiat currency and digital dollars or euros around the clock.

  Why it matters

  • As a top European financial institution, Societe Generale's issuance of stablecoins marks the acceleration of the trend of traditional banking industry actively embracing blockchain financial innovation. The use cases of USDCV and EURCV cover multiple fields such as crypto transactions, cross-border payments, on-chain settlement, foreign exchange transactions and cash management, demonstrating the potential of stablecoins as versatile financial tools. Societe Generale's choice to deploy on both Ethereum and Solana reflects the institutional demand for high-performance blockchains.

  Tech giants Apple, X, Airbnb and Google explore the use of stablecoins to reduce transaction costs

  Quick overview of key points

  • According to Fortune Crypto, Apple, X (formerly Twitter), Airbnb and Google are in preliminary dialogue with crypto companies to explore the integration of stablecoins to reduce transaction costs and enable more economical international payments;

  • These companies join Meta and Uber and other technology giants that have been evaluating the use of US dollar-pegged assets, against the backdrop of an improved regulatory environment and growing investor demand for stablecoins;

  • The X platform announced on Friday that Polymarket has become its "official" prediction market partner. The decentralized prediction platform had a trading volume of US$1.06 billion in May and more than 267,000 active traders.

  Why it matters

  • Tech giants' interest in stablecoins reflects the changing attitude of traditional enterprises towards blockchain payment solutions. X's cooperation with Polymarket will embed the prediction market directly into the social media platform, making event-driven betting more viral and meeting the funding needs of high-frequency small bets. The crypto-native asset solution is just right for the Internet scenario. With the successful listing of Circle, stablecoins are rapidly transforming from speculative tools to mainstream payment infrastructure. Musk's plan to build X into a "super app" similar to WeChat is accelerating. These trends indicate that stablecoins and crypto applications are expanding from professional markets to the broader social media and e-commerce fields, and may become the key infrastructure of the decentralized social financial ecosystem in the future.

  Plasma and Aave reach a partnership to build a permissionless lending infrastructure

  Quick Overview

  • Plasma has established a strategic partnership with DeFi leader Aave. Aave will become the first-day launch partner of the Plasma network and support Aave's stablecoin GHO;

  • As the world's largest liquidity protocol, Aave has facilitated more than US$40 billion in loans, accounting for more than 20% of DeFi's total liquidity, providing global users with bank-free and permissionless lending services;

  • Plasma is working with Aave founder Stani Kulechov and the Avara, AaveChan and Horizon teams to distribute to global institutions and underserved users. USD₮ financial infrastructure.

  Why it matters

  • This collaboration marks an important step in the expansion of DeFi infrastructure to a wider range of users and institutions. By integrating Aave's permissionless lending capabilities and Plasma's scalability, the two parties aim to address the lending needs of billions of people that are not served by the traditional financial system. Lending, as a basic function of financial services, is still inaccessible to a large number of people around the world, and Aave's decentralized protocol provides a financial inclusion solution by eliminating banks and intermediaries.

  US Bancorp, the fifth largest bank in the United States, studies stablecoin business, and crypto custody services are recovering

  Quick overview of key points

  • U.S. Bancorp CEO Gunjan Kedia said the bank is "studying and observing" its possible role in the stablecoin field and considering launching its own stablecoin through a partnership;

  • The bank's institutional crypto custody business, launched in 2021, developed slowly during the Biden administration's strict regulation, but has become active again under the Trump administration's pro-crypto policies;

  • US Bancorp may provide infrastructure services for stablecoins, including holding supporting assets and providing custody services, and there are currently several pilot projects underway.

  Why it matters

  • As the fifth largest bank in the United States, US Bancorp's research on stablecoins shows that traditional financial institutions are accelerating their layout in the field of digital assets. Unlike the SEC's harsh enforcement of the crypto industry during the Biden era, the Trump administration has basically revoked past regulatory actions against the crypto industry and promised to stop future regulatory measures on the industry, which has created a favorable environment for institutional investors to re-enter the crypto market. With the market value of the four major stablecoins reaching a record high of $223 billion and the US Senate advancing the GENIUS Act, a stablecoin regulatory bill, large banks are beginning to reassess their position in this fast-growing market. However, Kedia pointed out that although the stablecoin transaction volume data looks attractive, 90% of the transactions are currently limited to transactions between cryptocurrencies, indicating that stablecoins have not yet truly penetrated the traditional financial sector. As the regulatory framework gradually becomes clear, the entry of traditional financial institutions such as US Bancorp into the stablecoin market may mark an important milestone in the integration of digital assets with the traditional financial system.

  Shopify connects to Coinbase Base network to support USDC stablecoin payments

  Quick overview of key points

  • Shopify launched the USDC stablecoin payment function for the first batch of merchants on Coinbase's Ethereum Layer 2 network Base on June 12, and plans to open it to all merchants using Shopify Payments within the year;

  • Merchants can accept USDC payments on the chain and receive local currency settlements without incurring foreign exchange transaction fees. Shopify also plans to provide 1% cash back for customers who pay with USDC;

  • The plan is based on Coinbase and Shopify The new open source payment protocol jointly developed supports standard features such as delayed debits, tax calculations, and refund processing, and integrates directly into merchants' existing order fulfillment systems.

  Why it matters

  • This integration marks the acceleration of stablecoin payments into mainstream e-commerce. With the supply of stablecoins increasing by 54% year-on-year, their applications have expanded from cryptocurrency trading to payments and international remittances. By choosing the low-cost, high-speed, and secure transaction environment of the Base network, Shopify provides millions of merchants around the world with access to crypto payment infrastructure, which is expected to significantly reduce cross-border business costs and improve efficiency. This move may accelerate the adoption of stablecoins in the retail payment field and bring crypto-native payment infrastructure innovation to global e-commerce.

  Conduit and Braza Group launch Brazilian cross-border payment stablecoin foreign exchange swap service

  Quick Points

  • Crypto payment infrastructure provider Conduit has partnered with Brazil's Braza Group to launch a service that uses stablecoins to conduct real-time foreign exchange swaps between the Brazilian real, the US dollar and the euro;

  • The service reduces payment processing time from several days in traditional SWIFT channels to minutes, significantly improving the efficiency of cross-border transaction settlement;

  • Stablecoins are becoming increasingly popular in the cross-border payment sector, and industry forecasts show that this sector will achieve significant growth by 2030.

  Why it matters

  • This collaboration demonstrates how stablecoins can solve the efficiency bottleneck of traditional cross-border payment systems. As the largest economy in Latin America, Brazil has a large cross-border payment market, but the traditional foreign exchange system takes several days to process and is expensive. Real-time foreign exchange swaps enabled by stablecoin technology will not only significantly increase transaction speed, but also have the potential to reduce cross-border payment costs for businesses and individuals. As the global stablecoin payment infrastructure continues to improve, similar solutions are expected to be promoted in more emerging markets, providing a more efficient alternative for international trade and remittances.

  Financial infrastructure giant DTCC considers integrating stablecoin technology

  Quick overview of key points

  • According to The Information, the Depository Trust & Clearing Corporation (DTCC) is developing a stablecoin project;

  • DTCC recently pointed out in a blog that the use cases of stablecoins are increasing, including "for corporate cross-border fund management and payment systems";

  • DTCC's digital asset business is led by Nadine Chakar, global head of digital assets, and the company has previously launched the blockchain-based AppChain tokenized collateral management platform.

  Why it matters

  • As an SEC-registered institution that processes hundreds of trillions of dollars in securities transactions each year, DTCC’s entry into the stablecoin space will have a profound impact on the integration of traditional financial infrastructure and digital assets. This move is consistent with the trend predicted by US Treasury Secretary Scott Bessent, who said at a Senate hearing that the dollar-backed stablecoin market is expected to exceed $2 trillion in the next three years. At the same time, financial institutions including Societe Generale and Bank of America are also looking into issuing dollar-pegged tokens, which is largely driven by the progress of the GENIUS Act, which will standardize stablecoin regulation in the United States. DTCC’s involvement as a back-end infrastructure provider may clear important barriers for institutional investors to adopt stablecoin technology and accelerate the integration of traditional finance and blockchain technology.

  New Product Express

  Flipcash Launches Global Zero-Fee Digital Cash Application on Solana

  Quick Overview

  • Flipcash is a payment application created by Kik founder Ted Livingston. Formerly known as Code, it digitizes the physical cash experience. Users can show the virtual cash code for the other party to scan and complete instant transfers;

  • The application supports instant transfers worldwide, provides automatic currency exchange functions, no fees and no price differences, and can be used across regions through video calls or sharing links;

  • Livingston switched from the previous Kin cryptocurrency to the USDC stablecoin. All balances are held in regulated US dollar stablecoins, and users can transfer money at any time through Withdraw from exchanges in over 190 countries.

  Why it matters

  • Flipcash represents an important innovative attempt at stablecoin payments in consumer scenarios, especially considering Ted Livingston's previous experience with the Kik project. The strategic shift from native cryptocurrencies to using USDC stablecoins reflects the maturity and pragmatism of the industry. Built on the Solana blockchain, Flipcash combines the simplicity and privacy of cash with the global reach of digital payments, while achieving a sustainable operating model through interest income from stablecoin assets. This unintermediated, borderless, and fee-free payment experience is particularly suitable for cross-border scenarios such as travel settlements and overseas remittances. As a new project by experienced entrepreneurs, Flipcash shows how stablecoins can achieve the vision of frictionless global payments that traditional finance has difficulty providing.

  Tether launches non-custodial wallet development kit WDK, targeting autonomous AI and robot financial needs

  Quick overview of key points

  • Tether released an open source self-custodial wallet development kit (WDK), aiming to build advanced mobile and desktop wallet experiences and provide fully autonomous Bitcoin and Tether token wallet solutions;

  • WDK places special emphasis on providing financial autonomy for AI agents and robots, enabling them to manage their own assets and execute transactions without human intervention;

  • The toolkit uses P2P cluster technology to synchronize nodes and broadcast transactions. Tether promises that WDK v2 will be launched soon and will provide complete documentation, support and examples.

  Why it matters

  • Tether’s launch of WDK marks a critical step in the evolution of stablecoin infrastructure towards greater decentralization. As the largest stablecoin issuer by market capitalization, Tether’s move could have far-reaching implications for the entire crypto wallet ecosystem. With a particular focus on financial autonomy for AI agents, WDK demonstrates Tether’s forward-looking approach to the future AI-driven economy. By providing open-source, configurable wallet infrastructure, Tether not only expands its ecosystem, but also provides developers with the tools to build censorship-resistant, decentralized financial applications. Social video platform Rumble has begun building wallets based on this architecture, indicating that this technology may be adopted in mainstream applications. The launch of WDK further strengthens Tether’s leadership in the stablecoin market and may accelerate the adoption of non-custodial wallets in the future financial system.