SoFi launches SoFiUSD stablecoin to offer settlement infrastructure for banks and fintechs

SoFi Technologies announced Thursday the launch of SoFiUSD, a fully reserved U.S. dollar stablecoin issued by SoFi Bank, marking what the company says is the first time a national bank has issued a stablecoin on a public, permissionless blockchain.

The product aims to position SoFi as a stablecoin infrastructure provider for banks, fintechs, and enterprise platforms seeking faster, more efficient money movement, according to a statement shared with The Block. Initially deployed on Ethereum, support may also extend to other networks over time.

SoFi said partners will be able to integrate SoFiUSD into settlement and payment flows using the firm's bank-grade infrastructure, enabling near-instant transactions around the clock at fractional-cent costs. The company added that the stablecoin will also be made available to SoFi members in the future, expanding its use beyond institutional settlement.

Bank-issued stablecoin infrastructure

SoFi Bank is an OCC-regulated, FDIC-insured depository institution, and SoFiUSD is fully backed 1:1 by cash reserves held for immediate redemption, according to the firm. As a federally chartered bank, SoFi said it can hold reserves in cash at its Federal Reserve account, eliminating liquidity and credit risk while generating yield that can be shared with partners and stablecoin holders.

The company said its infrastructure will also allow banks, fintechs, and enterprise partners to issue their own white-label stablecoins or use SoFiUSD directly within their own systems.

SoFi CEO Anthony Noto said the launch applies the firm's regulatory and operational framework to address slow settlement, fragmented providers, and opaque reserve models in financial services.

"Blockchain is a technology super cycle that will fundamentally change finance, not just in payments, but across every area of money," Noto said, adding that SoFiUSD combines the firm's national bank charter with transparent, fully reserved onchain technology to provide a "safer and more efficient way to move funds."

SoFi said SoFiUSD will be used not only within its crypto trading business but also for settlement by card networks, retailers, and other businesses seeking lower-cost, faster payments. The stablecoin is also expected to play a role in SoFi Pay for international remittances and point-of-sale purchases, as well as serve as an alternative payment method for its platform partners that process billions of transactions annually.

The move comes as other major fintech and payments firms have unveiled or pursued their own stablecoin initiatives this year, including Klarna's planned KlarnaUSD, Western Union's USDPT, and Stripe's USDB — reflecting a broader push among traditional finance companies into blockchain-based settlement and payment infrastructure.

SoFi's stablecoin launch also builds on its recent expansion into crypto services. In November, the firm became the first national bank to offer crypto trading directly to consumers under SoFi Crypto, allowing members to buy, sell, and hold nearly 30 cryptocurrencies within its app, following a phased rollout.

SoFi previously offered crypto trading via a partnership with Coinbase in 2019, which was subsequently suspended in 2023. "One of the holds we've had for the last two years was in cryptocurrency, the ability to buy, sell, and hold crypto," Noto explained last month. "We were not allowed to do that as a bank. It was not permissible. But in March of this year, the OCC came out with an interpretive letter that it's now permissible for banks, like SoFi, to offer cryptocurrencies."