SoFi Technologies rolled out its own stablecoin, SoFiUSD, on May 27, making it the first U.S. national bank to put a bank-issued digital token directly inside a banking app. The move targets the online lender's nearly 15 million members with a promise of cheaper cross-border transfers and a potential exchange listing.
Why a bank-issued stablecoin
SoFi wants to give its members a way to move money across borders without the usual delays and fees. By issuing SoFiUSD itself, the bank controls the entire process from deposit to transfer. The stablecoin is pegged 1-to-1 to the U.S. dollar and backed by reserves on the bank's balance sheet.
First of its kind in U.S. banking
No other U.S. national bank has offered a stablecoin directly inside a banking application before. SoFi's national charter lets it operate as a bank while still issuing a digital token. Members can convert dollars to SoFiUSD and back inside the app, no third-party wallet needed.
Cross-border transfers and a listing target
The company plans to use SoFiUSD for international money transfers, aiming to cut out correspondent banks and reduce costs. SoFi also mentioned a “bullish listing” for the token, though it hasn't said which exchanges or when. For now, only U.S.-based members can use SoFiUSD.
SoFi expects to roll out cross-border functionality in the coming months. It's also exploring regulatory approvals to offer SoFiUSD outside the U.S. No exchange listing date has been announced, but the bank said it's working on it.
