Stablecoins are rapidly gaining traction as an alternative payment method, with transaction volumes projected to approach $1 trillion by July 2025. This seismic shift is forcing traditional payment giants and fintech disruptors alike to rethink their role in a world where money moves faster, cheaper, and 24/7.
The Clear Winners
- Consumers and Businesses
Everyday users and enterprises stand to gain the most, benefiting from instant settlement, lower fees, and frictionless cross-border transfers. - PayPal
With its PYUSD stablecoin and expanding crypto payment services, PayPal holds a first-mover advantage. Strategic partnerships further extend its reach, positioning it as a leader in digital payments. - Block (Square & Cash App)
Block continues to double down on digital assets. Its ecosystem is being designed so that stablecoins can be accepted as seamlessly as dollars—cementing its role at the intersection of payments and crypto adoption. - SoFi
Leveraging its banking license, SoFi has the flexibility to issue its own stablecoin and build innovative blockchain-powered services, giving it a competitive edge over non-bank fintech rivals.
The Adaptable Incumbents
- Visa & Mastercard
These global networks are not resisting disruption but embracing it. By integrating stablecoin services into their infrastructure, they aim to act as enablers rather than competitors, ensuring relevance in the next era of payments. - American Express
Exploring use cases in cross-border B2B payments, Amex faces less direct risk since foreign-exchange revenues make up a smaller slice of its business model.
Potential Losers
- Corpay
With heavy reliance on cross-border B2B transactions, Corpay could feel the squeeze if stablecoins eat into its market share. However, strategic partnerships and its own stablecoin offerings may cushion the impact.
“We see near- to mid-term risk for Corpay as limited, given its stablecoin initiatives and the ongoing need to convert digital assets back into fiat currencies,” noted BofA analysts. - Traditional FX Providers
Currency exchange firms stand to lose the most if conversion flows migrate away from their platforms. Since their core value lies in currency conversion rather than payment facilitation, stablecoins pose a structural challenge to their business model.
The Bigger Picture
BofA analysts emphasize that stablecoins should be viewed as an additional payment rail rather than a wholesale replacement. The majority of established players will need to adapt, offering stablecoin options to remain competitive in a market where speed, cost-efficiency, and global reach increasingly define success.