Mastercard is testing stablecoin settlement with SoFiUSD to speed up card transaction clearing and help bridge traditional finance and blockchain.
Mastercard is integrating stablecoins into its payment infrastructure to modernize the back-end settlement process, allowing banks and issuers to settle card transactions using regulated digital dollars such as SoFiUSD.
The partnership with SoFi Technologies enables SoFi Bank to settle Mastercard transactions in SoFiUSD, while Galileo’s platform allows other banks and fintech issuers to adopt stablecoin settlement.
Stablecoin settlement focuses on the post-transaction clearing stage, meaning consumers will continue using cards normally while the underlying settlement between banks may occur through blockchain-based digital assets.
