Amazon Walmart Explore Stablecoins to Cut 3% Transaction Fees

Coin WorldFriday, Jun 13, 2025 6:05 pm ET
2min read

Amazon and

, two of the world's largest retailers, are exploring the launch of their own stablecoins. These digital tokens, pegged to the US Dollar, aim to streamline transactions, reduce payment processing costs, and enhance customer loyalty. The adoption of stablecoins could revolutionize the payment systems for these retail giants, allowing for nearly instant settlements compared to the days-long wait for traditional card payments. This move comes as interest in the stablecoin asset class is growing rapidly, with the advancement of the Guiding and Establishing National Innovation for US Stablecoins (GENIUS) Act in the US Senate. The bipartisan bill, sponsored by several senators, is expected to play a significant role in modernizing payment rails in the US and ensure the country remains at the forefront of financial innovation.

By adopting stablecoins,

and Walmart could potentially bypass costly credit card networks, leading to substantial savings in transaction fees. For instance, credit card companies like and Mastercard charge merchants interchange fees ranging from 1% to 3% per transaction. Stablecoins could significantly reduce these costs, benefiting both retailers and consumers. Moreover, stablecoins facilitate faster transaction settlements, addressing delays associated with traditional banking systems. This efficiency is particularly advantageous for cross-border transactions, where time and cost savings are crucial.

The potential launch of stablecoins by Amazon and Walmart is contingent upon the passage of the GENIUS Act, a proposed legislation aimed at establishing a clear regulatory framework for stablecoins in the United States. The bill has recently advanced in the Senate and is expected to undergo further deliberations. The outcome of this legislation will significantly influence the feasibility of stablecoin adoption by these retail giants.

The news of Amazon and Walmart’s exploration into stablecoins has elicited varied responses from the financial industry. Shares of Visa and Mastercard experienced declines, reflecting concerns over potential disruptions to their business models. However, analysts caution that widespread adoption of stablecoins faces challenges, including consumer adoption hurdles and regulatory uncertainties.

The potential benefits for Amazon and Walmart are substantial. By issuing their own stablecoins, these retailers could drive cash volumes and card transactions away from banks and payment institutions, such as Mastercard and Visa. This shift could result in significant cost savings, as stablecoin-based systems would allow retailers to bypass traditional payment rails that charge interchange fees each time a transaction is processed. According to reports, the GENIUS Act's federal framework for digital dollars may soon enable Walmart and Amazon to reduce $4 billion in annual card processing fees through stablecoin.

The interest in stablecoins from these retail giants comes several weeks after major US banks, including JPMorgan Chase, Bank of America, Citigroup, and Wells Fargo, announced early-stage talks about a joint stablecoin project. This indicates a broader trend in the financial industry towards adopting digital tokens as a viable payments solution. Stablecoins are designed to mirror the value of stable currencies, such as the US Dollar, offering a digital alternative to cryptocurrencies, which are often associated with high volatility. This makes stablecoins more suitable for everyday transactions, particularly for large retailers with billions of dollars in yearly sales.

The potential entry of Amazon and Walmart into the stablecoin space would mark a significant milestone, as it would be the first time retail giants issue digital dollars under an explicit federal rulebook. This move could reimagine prepaid cards and gain a key position as new forms of payment systems emerge. The adoption of stablecoins by these retailers could also enhance customer loyalty, as it would provide a faster and more economical model for transactions. Overall, the exploration of stablecoins by Amazon and Walmart represents a strategic move to stay ahead in the rapidly evolving landscape of digital payments.