Monad Acquires Portal Labs to Boost Stablecoin Payments

Monad Foundation, the organization behind the high-speed layer-1 blockchain Monad, has acquired Portal Labs, a stablecoin infrastructure platform. This acquisition aims to enhance Monad's capabilities in blockchain-based payments, particularly in the stablecoin space. Monad, which is compatible with the Ethereum Virtual Machine (EVM) and capable of processing over 10,000 transactions per second, seeks to accelerate its push into stablecoin payments and improve the tools available for developers and fintechs building with digital dollars.

Portal Labs, known for its embedded wallet infrastructure designed for stablecoin payments, will continue to operate as a separate brand under Monad as a wholly-owned subsidiary. Raj Parekh, the co-founder of Portal and a former executive at Visa’s global crypto division, will join Monad as the head of payments and stablecoins. This strategic move comes at a time when stablecoins are gaining traction in the broader financial world, with fintechs and banks exploring ways to integrate these digital assets for cross-border payments.

Stablecoins, which are cryptocurrencies with prices tied to external assets such as the U.S. dollar, offer faster and cheaper transactions compared to traditional channels. The acquisition by Monad is part of a broader trend in the stablecoin space, where companies are increasingly looking to enhance their blockchain-powered payment capabilities. For instance, payments firm Stripe has recently acquired stablecoin infrastructure firm Bridge and wallet platform Privy to bolster its own capabilities in this area.

Keone Hon, co-founder and general manager at Monad Foundation, emphasized the significance of payments as a key use case for blockchains. He stated that Portal’s production-grade stablecoin rails will provide enterprises and developers with plug-and-play solutions to incorporate stablecoin payments into their platforms and apps. This acquisition is expected to drive widespread crypto adoption by leveraging the efficiency and speed of blockchain technology in the payments sector.