Stablecoins as the Next-Gen Infrastructure for Global Payments and Banking

The global financial system is undergoing a seismic shift, driven by the rise of stablecoins as a foundational infrastructure layer for cross-border payments, treasury management, and institutional finance. Regulatory tailwinds, including the U.S. GENIUS Act and the EU's MiCA framework, have created a fertile environment for stablecoin adoption, while banks and fintechs are rapidly integrating these assets into their core operations. This convergence of policy, technology, and market demand is reshaping the value chain, positioning stablecoins as a critical component of the next-generation financial ecosystem. For investors, the opportunity lies in identifying firms poised to dominate this restructured landscape.

Regulatory Tailwinds: GENIUS Act and MiCA Set the Stage

The U.S. GENIUS Act, signed into law on July 18, 2025, has established a clear regulatory framework for stablecoin issuance, mandating 1:1 reserves with high-quality liquid assets such as U.S. Treasuries and cash. This framework, overseen by the Office of the Comptroller of the Currency (OCC) for non-bank issuers, has enhanced transparency and consumer trust, contributing to a surge in global crypto assets exceeding $4 trillion in 2025. By exempting compliant stablecoins from securities and commodity classifications, the act has also reduced legal ambiguity, encouraging institutional participation.

Simultaneously, the EU's Markets in Crypto-Assets (MiCA) regulation, fully implemented in 2025, has introduced stringent rules for reserve composition, redemption rights, and disclosure standards for stablecoins. These measures have spurred a shift toward MiCA-compliant stablecoins across the EU, with crypto-asset service providers (CASPs) increasingly restricted from offering non-compliant alternatives. Together, these regulatory frameworks have created a globally harmonized environment, accelerating stablecoin adoption and institutional confidence.

Banks and Fintechs: Reclaiming the Payment Flow

Financial institutions are no longer passive observers in the stablecoin revolution. JPMorgan Chase, Bank of America, and Wells Fargo have formed a consortium to issue a fully collateralized digital token under the U.S. regulatory framework, aiming to reclaim dominance in payment flows previously ceded to fintechs. Similarly, Visa has launched cross-border payment programs leveraging stablecoins as a settlement layer, reducing settlement times from days to minutes. These initiatives underscore a strategic pivot by traditional banks to integrate stablecoins into their core infrastructure.

Fintechs, meanwhile, are driving innovation. Companies like EvaCodes, Debut Infotech, and Antier Solutions are developing customized stablecoin solutions that reduce transaction costs by up to 70% compared to traditional methods. These firms are aligning with international standards like MiCA and the GENIUS Act to ensure compliance, building trust with regulators and end-users. The result is a dual-track ecosystem where banks and fintechs collaborate to expand stablecoin use cases, from real-time payments to treasury optimization.

Cross-Border Payments: A New Era of Efficiency

Stablecoins are particularly transformative in cross-border payments, where they address longstanding inefficiencies in speed, cost, and transparency. Over 60% of Africa's stablecoin volume is now processed through regulated infrastructure, enabling enterprise-grade security and compliance. In Latin America and Africa, import/export businesses are using stablecoins to streamline B2B payments and remittances, leveraging instant global reach and 24/7 liquidity.

The integration of stablecoins into treasury operations, merchant settlements, and payroll systems is also gaining traction. A 2025 report by Fireblocks indicates that 86% of firms now have infrastructure ready for stablecoin adoption. This shift is not limited to emerging markets; global corporations are increasingly adopting stablecoins to hedge against FX volatility and optimize liquidity management.

Value Chain Shifts: From Speculation to Structure

The stablecoin ecosystem is transitioning from speculative experimentation to structured infrastructure. Regulatory clarity has spurred institutional adoption, with over 80% of stablecoin volume now transacted through regulated platforms. This shift is redefining the value chain, with key players emerging in three areas:
1. Issuers: Firms like the JPMorgan-led consortium and MiCA-compliant stablecoin providers are capturing market share through compliance and scale.
2. Infrastructure Providers: Fintechs and blockchain developers are building the tools and protocols that enable seamless integration of stablecoins into existing financial systems.
3. Settlement Networks: Payment gateways and traditional banks are leveraging stablecoins to reduce friction in cross-border transactions, creating new revenue streams.

Investment Thesis: Capturing the Infrastructure Play

For investors, the most compelling opportunities lie in firms that are both compliant and innovative. JPMorgan Chase and its consortium represent a strategic bet on institutional-grade stablecoin issuance, while fintechs like EvaCodes and Debut Infotech are pioneering solutions for SMEs and emerging markets. Visa's cross-border payment programs highlight the potential for stablecoins to disrupt legacy settlement systems, generating recurring revenue through transaction fees.

Moreover, the shift toward regulated infrastructure is creating a flywheel effect: as more institutions adopt stablecoins, network effects amplify their utility, further driving adoption. This dynamic is particularly evident in emerging markets, where stablecoins are becoming a de facto tool for financial inclusion and economic resilience.

Conclusion

The convergence of regulatory clarity, technological innovation, and institutional adoption is cementing stablecoins as the next-gen infrastructure for global payments and banking. For investors, the key is to identify firms that are not only compliant but also positioned to scale within this restructured ecosystem. As the GENIUS Act and MiCA continue to shape the landscape, the winners will be those who can bridge the gap between traditional finance and decentralized innovation-offering a compelling long-term investment case.