Competition intensifies over stablecoin payment infrastructure… “Aim is to lock in revenue streams”

Competition between digital-asset companies and fintech firms over stablecoin (digital assets pegged to fiat currencies) payment infrastructure is heating up in earnest. The push appears to center on competing for fee income via proprietary payment networks.

On the 20th (Korea time), Cointelegraph, a digital-asset news outlet, reported that major stablecoin issuers such as Tether (USDT) and Circle, along with fintech firms, are moving to build dedicated blockchains to directly control payment-processing infrastructure.

Notably, Tether has launched Plasma (XPL), a blockchain network dedicated to USDT, while Circle has also unveiled the testnet for “Arc.”

Fintech companies are also joining the race. Stripe has already acquired multiple stablecoin infrastructure firms and also launched its own blockchain network, Tempo.

The industry sees direct control of stablecoin payment infrastructure as becoming strategically important. Operating a payment network in-house allows firms to earn fee revenue across the entire chain—issuance and distribution, FX conversion, wallets, and on- and off-ramps.

Ran Goldi, vice president at Fireblocks, said companies are looking to build payment infrastructure themselves rather than rely on external networks such as Ethereum (ETH).