SoFi launches fully reserved stablecoin

SoFi launched SoFiUSD, a fully reserved U.S. dollar stablecoin issued by SoFi Bank, N.A., designed to serve as stablecoin infrastructure for banks, fintechs and enterprise partners.

The company said in a statement that it is the first national bank to offer open access to a stablecoin on a public, permissionless blockchain, and that partners can move funds around the clock with near-instant settlement at fractional-cent pricing.

SoFi said SoFiUSD is issued by SoFi Bank, N.A., an OCC-regulated insured depository institution. The company said the token is fully reserved 1:1 by cash for immediate redemption capability and that reserves can be held in cash at its Federal bank account to avoid liquidity or credit risk. “Blockchain is a technology super cycle that will fundamentally change finance, not just in payments, but across every area of money,” said Anthony Noto, CEO of SoFi.

The company said SoFiUSD will support settlement across its crypto trading business and can be used by card networks, retailers and other businesses for 24/7 settlement. The firm said SoFiUSD will also be used in SoFi Pay for international remittance, for everyday point-of-sale purchases, and as an alternative payment option for Galileo’s partners, and that it plans for the token to serve as a secured dollar-denominated asset in certain consumer accounts in volatile currency markets.

The company said SoFiUSD is now available for internal settlement activity, with broader availability to SoFi members expected in the coming months. Institutions and developers interested in integrating SoFiUSD or exploring partnerships can contact crypto@sofi.org.

The Recap

• SoFi launched SoFiUSD, a fully reserved U.S. dollar stablecoin.
• SoFiUSD is fully reserved 1:1 by cash reserves.
• Broader availability to SoFi members expected in coming months.