Mastercard Expands Stablecoin Use with SoFi Partnership

Mastercard has recently announced an expansion of its partnership with SoFi, a US-based fintech company. This move allows the use of SoFiUSD, a bank-issued stablecoin, for settlement on Mastercard's global payments network.

The partnership marks the first time a stablecoin from a US-chartered and insured bank has been used for settlement at such a large scale. The expansion aims to support faster and more flexible cross-border and B2B payments using digital assets alongside traditional currencies.

SoFiUSD is issued by SoFi Technologies, which is expanding its services beyond consumer lending into cryptocurrency trading, stablecoin issuance, and blockchain-enabled payments. Mastercard's move into digital assets comes at a time when its share price is below analyst targets.