According to CEO Devin McGranahan, Stablecoins is “not a threat, not a threat, not a threat,” by international remittance company Western Union.
In an interview with Bloomberg on Monday, McGranahan said that what allows users to send faster and cheaper money across borders is a good thing for Western Union and its customers.
Stablecoins are crypto tokens that are fixed at the value of traditional financial assets such as Fiat currency, with the US dollar being the most common.
By allowing users to use blockchain technology to send sectarian value across borders in US dollars, it looks like a disruptor of Western Union’s business case when transfers faster, cheaper and more efficient than traditional methods.
“A last check, we couldn’t use stubcoins if we wanted to buy Coca-Cola, so converting stubcoins into Fiat currency is an opportunity for us, especially when it’s difficult to convert currency,” McGranahan said.
For such users, Stablecoin may represent a store of value, he added.
Stablecoins form the backbone of new cryptocurrency regulations in the United States, with the first important crypto bill known as the Genius Act becoming law last week.
The Genius Act creates definitions of the currency secretary and the Federal Reserve, which oversees bank and non-bank issuance, respectively, and Stablecoin payments.
