The Two Largest Retailers Eye Stablecoin Launches
The world’s two largest retailers, Amazon and Walmart, are considering the launch of stablecoins. This move could significantly shift transaction volumes away from traditional financial systems.
According to reports in The Wall Street Journal, both companies are exploring this strategy as they look toward potential changes with the Guiding and Establishing National Innovation for U.S. Stablecoins (GENIUS) Act, which aims to provide a regulatory framework for stablecoin transactions.
A brand-specific stablecoin could potentially save Amazon and Walmart billions in transaction fees while enabling faster and transparent payments. This impact is especially noticeable in cross-border payments, where high fees and delays are common issues for global retailers.
Not Alone: Other Companies Considering Stablecoins
The retail giants aren’t the only ones considering stablecoins; travel company Expedia Group and several major airlines have also shown interest in launching their own stablecoins. Additionally, Meta is collaborating with stablecoin companies to launch its own stablecoin, targeting cross-border payments as a key use case.
Traditional Banks Join the Game
While concerns about these stablecoin launches detracting from traditional financial players exist, more traditional banks are also getting into the game. France’s Societe Generale was the first regulated bank to launch its own stablecoin several years ago, with a euro-backed offering, and it now plans to introduce a USD-backed version.
Reports indicate that major U.S. banks like Citigroup (Citi), JPMorgan Chase & Co. (Chase), Bank of America, and Wells Fargo are considering issuing a joint stablecoin, enticed by the $250 billion market already including PayPal’s and soon to include Stripe’s stablecoins.
Many companies not launching their own stablecoin are still working to accept coins issued by Tether and Circle. For instance, e-commerce platform Shopify announced it would start accepting Circle’s USDC through a partnership with Coinbase.
Shopify cited the security and efficiency of stablecoins as reasons for this move, explaining that these digital assets can be accepted by its vast global community of creators.
