Stablecoins Overtake Traditional Payment Networks

Alchemy's engineering head Noam Hurwitz reveals stablecoins now process 7% more transaction volume than Visa and Mastercard combined on blockchain networks. This milestone positions dollar-pegged cryptocurrencies as the emerging standard for internet-based settlements, with daily onchain transfers exceeding $50 billion across major networks.

Tech Giants Embrace Crypto Infrastructure

——PayPal and Stripe's integration of stablecoin payments signals a tectonic shift in financial technology——. These platforms leverage blockchain's 24/7 settlement capability to reduce cross-border transfer times from days to minutes while cutting fees by 【83%】 compared to traditional rails. Alchemy currently powers stablecoin infrastructure for Robinhood Wallet, Visa, and Circle.

Dual Impact: Treasury Markets and Global Payments

Tether's $113 billion US Treasury holdings now surpass Germany's national reserves, generating $13 billion in annual profits. Meanwhile, platforms like Polymarket demonstrate stablecoins' utility for prediction markets through instant, low-cost transactions. JPMorgan's Kinexys tokenized deposit project further bridges traditional finance with blockchain efficiency.

Regulatory Tailwinds Emerge

The recent GENIUS Act passage creates America's first federal framework for stablecoin oversight. This clarity comes as Hong Kong implements its own licensing regime, while the BIS controversially argues stablecoins fail as money despite their growing adoption. Industry analysts note the regulatory progress coincides with 【142%】 year-over-year growth in stablecoin transaction volume.

Technical Challenges Persist

Fragmented blockchain ecosystems create interoperability hurdles for institutional adoption. Enterprises demand enterprise-grade reliability from nascent crypto providers—a tension Alchemy addresses through its institutional infrastructure solutions. The company anticipates most financial firms will eventually operate proprietary layer-2 networks to monetize stablecoin flows.

The Road Ahead

With stablecoin adoption growing at 【19%】 quarterly, Hurwitz predicts seamless cross-chain transactions will emerge within 18 months. This evolution could cement crypto's position as the internet's default payment layer—though debates continue about whether stablecoins represent money or digital bearer instruments in the evolving financial landscape.