“Traditional finance seems set to bring the dollar into the blockchain. Indeed, after years of experimentation, Western Union announced the launch of its own dollar-pegged stablecoin built on the Solana platform. This could redefine the role of “digital dollars” in global payments and create a dynamic that deserves close attention. This article is brought to you by 21M ⭕, a community of crypto investors who […]”, — write: businessua.com.ua
Traditional finance seems set to bring the dollar into the blockchain. Indeed, after years of experimentation, Western Union announced the launch of its own dollar-pegged stablecoin built on the Solana platform. This could redefine the role of “digital dollars” in global payments and create a dynamic that deserves close attention.
This article is brought to you by 21M ⭕, the crypto investing community behind 25% Club.
This article contains affiliate links that allow you to support the daily work of the Journal Du Coin teams.
Before we get to the point, here’s a small but necessary reminder. Western Union is an American company specializing in international money transfers . Founded in the 19th century (in 1851), it is historically known as one of the first major telecommunications networks before becoming a giant in cross-border payments .
Today, Western Union:
- works in over 200 countries of the world with hundreds of thousands of physical branches ;
- allows its customers to send and receive money abroad, often in cash or through bank/mobile account ;
- primarily aimed at foreign workers or families, that send money to developing countries;
- processes every year transactions worth billions of dollars (over $80 billion in 2024).
In short: this historical leader in the field of money transfers . And today he is challenged by blockchains and stablecoins, which explains his interest in repositioning itself in the on-chain finance market with its upcoming stablecoin: USDPT.
What we know about USDPT launched by Western Union USDPT (USD Payments Token) will be issued on Solana which is a strategic choice that is by no means insignificant.
Solana is currently one of the fastest and most cost-effective blockchains for stablecoin payments. For example, USDC transfers to Solana now exceed Ethereum transfers.
In addition, Western Union cooperates with Helio a company already known for facilitating the adoption of cryptocurrency payments for consumer brands (most notably through Solana Pay). The stated goal is simple: to allow its users to send, receive and convert dollars on the blockchain with the same ease as traditional Western Union transfers, but without the banking intermediary.
USDPT will:
- fully backed by US dollars, held by a regulated institution in the United States,
- can be redeemed at any time at a fixed exchange rate (1 USDPT = 1 USD),
- and directly integrated into the Western Union ecosystem through its mobile applications and physical partners.
In other words, Western Union’s ambition is to make it a gateway between cash and cryptocurrency on a global scale.
Also read: Learn about the 3 safest stablecoins of 2025.
Western Union’s strategic shift Western Union is not looking to compete with Tether or Circle in the DeFi market, but it is maintain its dominance in international money transfers a sector already heavily threatened by stablecoins.
Today, an expat Filipino can send USDC to his family via WhatsApp or Telegram almost instantly and without fees, while Western Union sometimes charges commission up to 8% !
By launching its own stablecoin, Western Union is trying to maintain its share of the international money transfer market.
21M Opinion ⭕: Just Another Stablecoin… 21M ⭕ is the community of crypto investors behind Club 25%, a strategy designed to generate a steady return of 25% per year for 10 years without active trading.
Every month, a new “traditional” player appears on the blockchain with its own digital dollar. After PayPal USD (PYUSD) , JP Morgan Coin , SocGen EURCV and initiatives USDC and USDT now Western Union also wants his piece of the pie.
But make no mistake: it is there will be neither a decentralized stablecoin nor a tool designed for DeFi.
Western Union’s goal is not to offer better returns or to open up the financial system, but to maintain control : control over flows, KYC and margin for transfers.
Meanwhile, in DeFi, the stablecoin yield king is still USDC .
It is the one that nourishes 80% opportunities at Club 25% one that can be found in all repositories, on all major platforms, and above all, one that offers the best return/risk ratio, when it is well placed.
Click here to learn more. Source: journalducoin.com
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