Western Union Group plans to launch its US dollar-backed stablecoin on the Solana blockchain, which will offer its customers around the world a new way to transfer money with lower fees and faster settlement.
This is part of efforts by the company – which established the first transcontinental telegraph line in 1861 – to reconfigure its network to keep pace with the digital age in which transactions are completed in seconds and operate around the clock. In a statement yesterday, Tuesday, Western Union Group said its stablecoin, called US Dollar Payment Token (USDPT), will be issued by Anchorage Digital Bank and is expected to launch within the first half of the year. 2026.
Western Union said users will be able to access the currency through partner platforms and then send it internationally without being exposed to exchange rate fluctuations or banking system bottlenecks.
The Western Union group relies on blockchain technology to reduce the costs of international transfers
Executives described the move as a return to the company’s roots of facilitating communication through technology but through entirely new channels, and Devin McGranahan, the company’s president and CEO, explained that the move to digital assets represents the next chapter in a 175-year journey to make moving money simpler and more reliable.
NEW: WESTERN UNION CEO SAYS “WE HAVE LOOKED AT MOST OF THE OTHER ALTERNATIVES AND CAME TO THE CONCLUSION…SOLANA BLOCKCHAIN WAS THE RIGHT CHOICE FOR US”
pic.twitter.com/qNIuWBxeb4– DEGEN NEWS (@DegenerateNews) October 28, 2025
For its part, the Solana blockchain will provide the project with superior processing power and low transaction fees, two essential elements in money transfers where every penny counts. Through settlement via a public blockchain, Western Union Group aims to reduce the time interval between a customer’s sending instructions and the availability of usable funds at the recipient, while improving transparency for compliance and reconciliation purposes.
As adoption increases, the company could accelerate the pace of use of stablecoins in traditional payment processes, as the stablecoin sector currently has an estimated total value of hundreds of billions of dollars, but a large portion of transaction volumes occur through trading platforms, while the new Western Union product will enable the use of digitally represented dollar balances to make daily transfers, pay bills and jump-start international trade.
Global payment companies are working to reduce settlement cycle times by using dollar-denominated stablecoins.
As previously mentioned, Anchorage Digital Bank will act as the issuer, providing a federal framework for managing custody and reserves. Regulatory developments have encouraged stablecoin issuers to keep their reserves parallel in the form of cash and short-term Treasury bills, which promotes price stability and recoverability.
Here the intensity of competition is indicated. PayPal launched a stable currency backed by the dollar in cooperation with Paxos in 2023 and decided to use it in its application to make transfers. MoneyGram has also launched a wallet to receive USD Coin-USDC balances, as bank-led banking networks test stablecoin payment operations to make international transfers in a bid to reduce settlement time and reliance on correspondence. Banking.
Partnerships with wallet providers will allow non-customers to convert stablecoin balances into the local official currency.
Western Union Group is also looking to build a digital asset network in collaboration with digital wallet providers so that non-customers can convert stablecoin balances to local fiat currency through its branch network. Its approach aims to tie the value of blockchain to the ability to withdraw cash in markets with low banking penetration and where the use of cash is still common.
The company has continued to test blockchain technology within its own treasury to move funds faster and avoid traditional close dates. International transfers can currently take several days and impose a strain on working capital. Stable currencies that can be redeemed as official funds on demand can help simplify liquidity management over different timescales.
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