The race to develop stablecoin infrastructure is intensifying across Wall Street and corporate America. Citigroup is advancing its stablecoin payment capabilities, spurred by growing interest from major financial players following the upcoming US GENIUS Act legislation, expected to take effect in 2027. Traditional financial institutions are accelerating their ventures into stablecoin initiatives, signaling a transformative shift in payments.
Beyond banking, Western Union is pioneering a stablecoin payment network using the Solana blockchain, highlighting the adoption of blockchain technology by established payment providers to enable faster, lower-cost cross-border transactions. Meanwhile, the Bitcoin mining sector is witnessing increased competition, with mid-tier miners quickly closing the gap with industry leaders. In digital lending, Ledn has surpassed $1 billion in Bitcoin-backed loan originations this year, reflecting a growing trend of investors choosing to borrow against their Bitcoin holdings rather than sell.
Citigroup has teamed up with crypto exchange Coinbase to enhance stablecoin payment solutions, focusing on more seamless transitions between crypto and fiat currencies. Citi’s head of payments, Debopama Sen, emphasized client demand for faster, programmable payments, stating that the bank is exploring onchain stablecoin payment solutions. Citi’s stablecoin market forecast envisions a surge to $4 trillion by 2030, a substantial rise from today’s $315 billion.
Western Union’s embrace of digital assets involves launching a US Dollar Payment Token (USDPT) and a Digital Asset Network on Solana, in partnership with Anchorage Digital Bank. The USDPT is slated for release in early 2026, aiming to improve accessibility and liquidity through collaborations with multiple crypto exchanges.
In the Bitcoin mining arena, data shows smaller miners such as Cipher Mining, Bitdeer, and HIVE Digital have significantly increased their realized hashrate post-2024 halving, challenging larger players like MARA Holdings. HIVE Digital is also diversifying into artificial intelligence and high-performance computing, indicating a broader strategic evolution.
Ledn’s milestone of over $1 billion in Bitcoin-backed loans year-to-date reflects investors’ preference for borrowing liquidity against Bitcoin holdings amid rising prices, allowing them to retain exposure to potential upside. Alongside industry heavyweights Tether and Galaxy Digital, Ledn dominates roughly 89% of the centralized finance lending market.
These developments illustrate a dynamic transformation within the crypto financial landscape, driven by innovation in stablecoin payments, expanding mining competition, and evolving lending practices.
Read more: https://cointelegraph.com/news/crypto-biz-corporate-stablecoin-race-heats-up-with-citi-western-union-at-the-helm