Western Union’s new Solana-based stablecoin USDPT could do more than just speed up money transfers. Angus Scott, founder of the Solana Institute, an organization supported by the Solana Foundation, said the old boundaries between remittances, consumer payments and bank payments could also be weakened.
western union We have launched a stablecoin backed by the US dollar. Anchorage Digital Bank NA published Monday. The company said the token will support payments 24/7 with agents and partners across the global payments network. The launch follows Western Union April disclosure USDPT will initially replace SWIFT-based interbank payments through agents.
Scott told CoinDesk that the launch is another sign that stablecoins are starting to challenge old payment models.
“Western Union’s adoption of Solana-based stablecoins is yet another evidence that stablecoins are becoming a major disruptor of traditional payments business models,” Scott said.
Importantly, he added, Solana can process both small consumer payments and large-scale payment flows. Low fees allow stablecoins to be used for small purchases, and fast settlements combined with 24/7 operations also allow businesses to move funds between agents without waiting for correspondent banks.
Scott said this would allow Western Union to pool idle balances and manage cash across its network in real time. Businesses that accept USDPT can do the same for customer payments.
“Western Union’s model appears to be breaking down the barriers between sending money, making payments, and making wholesale payments through correspondent banks,” Scott said. “How this plays out is going to be one of the key themes for the next few years.”
