The XRP community has lost a major opportunity to the Solana (SOL) ecosystem. On Tuesday, Western Union announced a strategic partnership with Anchorage Digital to launch a stablecoin dubbed USDPT on the Solana network.
“For 175 years, we’ve been connecting people, moving $150 billion a year. Digital assets are the next evolution. We looked at alternatives and came to the conclusion that Solana was the right choice,” Devin McGranahan, CEO of Western Union, noted.
Notably, Western Union once used Ripple Labs xRapid, which uses XRP, to facilitate cross-border payments. The pilot program between Western Union and Ripple did not gain traction, as it was negatively impacted by the recently concluded lawsuit against Ripple by the United States Securities and Exchange Commission (SEC).
Why Western Union Chose Solana to Build its Stablecoin
Reliable, Tested, and Scalable Smart Contracts
Western Union has joined other institutional investors building on the Solana blockchain, including PayPal and Fiserv. The Solana network has been running for more than a year without any downtime amid its notable scalability and affordability.
The Solana chain is also compliant with existing regulations, including the recently enacted GENIUS Act by President Donald Trump.
The Solana’s global community has grown in the past years, fueled by its high throughput and cheap transaction rates. As such, Western Union will reach more global markets and users for its USDPT stablecoin.
Market Impact
The market impact of Western Union launching its stablecoin on Solana has a mutual benefit to both parties. As for Solana, the demand for SOL to facilitate USDPT payments will bolster its macro bullish sentiment.
On the other hand, Western Union has a higher chance of thriving in cross-border payments in the future, thus bolstering its stock market.
Trust with CoinPedia:
CoinPedia has been delivering accurate and timely cryptocurrency and blockchain updates since 2017. All content is created by our expert panel of analysts and journalists, following strict Editorial Guidelines based on E-E-A-T (Experience, Expertise, Authoritativeness, Trustworthiness). Every article is fact-checked against reputable sources to ensure accuracy, transparency, and reliability. Our review policy guarantees unbiased evaluations when recommending exchanges, platforms, or tools. We strive to provide timely updates about everything crypto & blockchain, right from startups to industry majors.
Investment Disclaimer:
All opinions and insights shared represent the author’s own views on current market conditions. Please do your own research before making investment decisions. Neither the writer nor the publication assumes responsibility for your financial choices.
Sponsored and Advertisements:
Sponsored content and affiliate links may appear on our site. Advertisements are marked clearly, and our editorial content remains entirely independent from our ad partners.
Credit: Source link