SoFi and Mastercard launch stablecoin settlement across $25 billion card program

SoFi Technologies and Mastercard disclosed that stablecoin settlement is now live across SoFi Bank's debit and credit card program. Under a partnership announced in March, transactions can use SoFiUSD on Mastercard's global payments network. SoFi Bank is moving its entire $25 billion card program to stablecoin-based transaction settlement using SoFiUSD. SoFiUSD is described as the first stablecoin issued by a nationally chartered bank. It is designed to maintain a 1:1 redemption value against the U.S. dollar and is backed primarily by cash reserves. The companies said transactions are now live on the blockchain. The launch gives card issuers, acquirers and merchants another way to manage settlement and liquidity through established payment infrastructure. It also demonstrates how bank-issued stablecoins can operate alongside existing payment networks to connect traditional financial systems with blockchain-based infrastructure.