- Stripe has launched Stablecoin Financial Accounts in 101 countries using Bridge technology.
- The new service is aimed at businesses in countries with unstable currencies, enabling them to hold and use U.S. dollar-backed stablecoins.
- Bridge also unveiled the USDB stablecoin, backed by reserves in bank accounts and BlackRock funds.
Stripe finalized its $1.1 billion acquisition of stablecoin firm Bridge three months ago and yesterday announced that Stablecoin Financial Accounts built with Bridge’s technology are now live in 101 countries. Bridge continues to operate independently, while Stripe leverages its technology to provide global payments solutions, according to details published on the official Stripe site.
The new Stablecoin Financial Accounts focus on businesses operating in countries with volatile local currencies. These accounts allow companies to hold U.S. dollar-based stablecoins, offering the ability to receive funds via crypto or bank transfer and make cross-border payments using stablecoins such as USDC and Bridge’s newly introduced USDB. The service is not available in countries with strict cryptocurrency regulations, such as Ghana, Nigeria, and South Africa, but covers most other African regions.
The main benefit, as noted by the source, is that businesses do not need to manage crypto custody themselves or depend on exchanges to safeguard their funds. However, the specific stablecoin custodian working with Stripe has not been disclosed. According to Bridge, reserves backing the USDB stablecoin are held in traditional bank accounts and BlackRock short-term money market funds, with mentions of partners like Fidelity and Apex. Fidelity, which has a digital asset custody license, is listed, but its role remains unclear.
Bridge targets developers who want to build payment infrastructure using stablecoins. The company states that it will share most revenue from money market funds with developer partners and offers free transfers into USDB from stablecoins like USDC. “USDB introduces a more equitable model where these benefits can be shared between the issuer, developers, and end users,” the company said.
Legislation in places like the United States could affect how rewards are paid to stablecoin holders, with draft rules banning direct interest payments to end users by issuers. However, third parties may still offer such rewards, according to the source. Europe’s regulations go further by barring both issuers and crypto service providers from offering interest.
Demand for stablecoin accounts primarily comes from countries facing high inflation or costly cross-border transfers, while regions like the European Union are already well-served for digital payments.
Recently, Bridge partnered with VISA to enable developer partners to issue Visa cards, making it possible for clients to spend stablecoins and for merchants to receive payments in their local currencies.
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