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Jorrit's avatar

Do you think traditional banks and company’s like Mastercard and visa would implement stable coins to reduce transaction cost.

1971 Capital's avatar

Yes. Visa and Mastercard are actively integrating stablecoins into their payment infrastructure today, not to replace their core networks but to modernize settlement, expand payment options, and bridge on/off chain.

Banks are building stablecoin infrastructure as well. The issue for banks is that they need the deposits for their business model, so they are unlikely to use USDT, USDC, etc. They are more likely to use their own stablecoins representing deposits on their balance sheets. A common standard will likely emerge where banks can settle between each other with stablecoins, similar to how they settle on SWIFT today.

Destiny S. Harris's avatar

great depiction

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Jan 26
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1971 Capital's avatar

Thanks! The continued adoption of this technology feels inevitable to me.