SoFi Partners with Mastercard for Stablecoin Settlements on $25 Billion Card Program

SoFi Bank has begun settling transactions across its $25 billion card program using SoFiUSD, following a partnership with Mastercard to bring bank-issued stablecoin settlement to Mastercard’s global payments network. The transactions are now live on the blockchain, the companies announced on Tuesday.

SoFiUSD is issued by SoFi Bank, an OCC-regulated nationally chartered bank, and is primarily backed by cash reserves, redeemable 1:1 for US dollars. This launch illustrates how regulated stablecoins can be integrated into existing payment infrastructure.

SoFi is currently in discussions with major US merchants regarding stablecoin-based settlement arrangements and anticipates exploring additional use cases for SoFiUSD with Mastercard, including cross-border payments and remittances.