Solana news: Western Union Prepares Solana-Based Stablecoin to Settle Global Transactions Without SWIFT
Western Union's Stablecoin Initiative
Western Union, a longstanding leader in global money transfers, is preparing to launch a US dollar stablecoin (USDPT) on the Solana blockchain. The initiative aims to modernise the company's settlement process by providing an alternative to the traditional SWIFT network.
Replacing Legacy Settlement Systems
According to CEO Devin McGranahan, the stablecoin will initially be used for interbank settlements, not for direct consumer use. This approach is intended to address the limitations of legacy banking systems, which often restrict settlements to business days and can take several days to complete. By leveraging stablecoins, Western Union expects to enable real-time settlements, including on weekends and holidays, while reducing the capital required for operations.
Digital Asset Network and Cash-Out Options
Western Union is also developing the Digital Asset Network (DAN), which will allow crypto wallet providers to offer Western Union as a cash-out option. This network will enable users to convert digital assets into local currency through Western Union's retail locations, expanding access to crypto-to-cash services globally.
Stablecoin-Linked Card Launch
Later in the year, Western Union plans to introduce a Stable Card. This card will allow customers to hold funds in stablecoins and spend them via established card networks. The product is expected to be particularly useful in markets affected by inflation, providing access to US dollar-denominated value for everyday transactions.
Industry Context
Western Union's move comes as competition in the remittance and payments sector intensifies, with fintech and crypto firms increasingly adopting blockchain solutions for cross-border transactions. Competitors such as MoneyGram and Stripe are also exploring stablecoin-based payment infrastructures.
- Western Union's stablecoin will be issued in partnership with Anchorage Digital.
- The company aims to roll out the stablecoin and related products across multiple markets in 2026.
- The partner pipeline includes tens of millions of crypto wallets globally.
