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Stablecoins As A Platform: The 2025 Boom
The Digital Asset space is rapidly evolving, and real innovation frequently enough gets overshadowed. Though, 2025 is proving to be a pivotal year for stablecoins, with significant developments in financial services and regulatory frameworks.
Stripe’s Bold Move Sparks Stablecoin Gold rush
In a landmark move, Stripe has gone “all in” on digital assets, igniting what many are calling a “stablecoin gold rush” within the financial services sector. This coincides with the UK’s Insolvency Service hiring its first crypto intelligence specialist, tasked with tracing digital assets in bankruptcy cases, further highlighting the growing importance of this sector.
MapleStory Universe, a blockchain-integrated version of the popular online RPG MapleStory (with 180 million registered users and over $3 billion in revenue), launched last month, featuring in-game currency, demonstrating blockchain’s expanding reach.
Is blockchain finally becoming a foundational infrastructure, with stablecoins serving as the platform? Let’s delve into the key developments shaping this new landscape.
Banks Join the Stablecoin Revolution
Financial institutions are increasingly recognizing the potential of stablecoins. Some analysts believe Banks are actively “fighting back” against the rise of stablecoins, estimated to be a $225 Billion market.
One strategy involves joining the stablecoin wave directly. Evidence of this includes discussions around a joint stablecoin consortium involving JPMorgan, Bank of America, citigroup, and Wells Fargo – perhaps the largest Wall Street crypto collaboration to date. Sony Bank is also exploring a stablecoin proof-of-concept on Polygon for gaming and entertainment payments, while The Bank Of America’s Ceo has publicly stated their readiness to issue dollar-backed stablecoins.
The second approach involves creating competing tokenized deposits. For example, HSBC Hong Kong launched Asia’s first tokenized deposit service with Ant International, facilitating 24/7 HKD/USD transfers. JPMorgan’s Kinexys processes over $300 billion in tokenized deposits with EUR/USD/GBP support, and Mastercard is integrating its blockchain network with Kinexys for cross-border payments.
Stablecoins offer a way to move value globally, 24/7, with potentially lower fees than traditional wire transfers. This is especially beneficial for international remittances and cross-border payments.
Regulatory Developments In The US And UK
There’s significant anticipation in the US regarding the potential regulatory “unlock” that could occur if the GENIUS Act is passed. The current draft allows “permitted stablecoin issuers” to treat stablecoins as cash equivalents on their balance sheets, simplifying regulatory compliance compared to other financial products.
The UK is also making strides in digital asset legislation. Laws are being developed to accommodate a new form of property class in common law, better reflecting the unique qualities of digital assets. The Financial Conduct Authority (FCA) released consultations in May 2025 to clarify rules for crypto businesses and enhance consumer protection.
The first consultation, “Prudential Requirements for Cryptoasset Firms,” focuses on rules for firms issuing stablecoins and safeguarding cryptoassets, ensuring they can operate safely during periods of stress. Key proposals include minimum capital thresholds, fixed overhead requirements, and activity-based ‘K-factor’ requirements that scale with the firm’s crypto exposure. Firms must also maintain a liquidity buffer with stress testing frameworks.
The second consultation, “Stablecoin Issuance and Cryptoasset Custody,” addresses rules for stablecoin issuers and firms safeguarding cryptoassets. It focuses on ensuring stablecoins are backed by secure assets with clear redemption provisions and excludes unbacked or algorithmic tokens. The aim is to improve consumer confidence by ensuring firms are authorized and introducing trust structures for backing assets, openness, custodian obligations, and redemption rights for holders. Responses to the FCA are due by July 31.
Inversion Chain: Blockchain-As-Infrastructure In Action
Inversion Chain, a company launched by Santiago Santos, aims to onboard one billion users onto blockchain. Their business model involves acquiring traditional businesses, such as telcos, and integrating them with blockchain technology. Inversion targets these assets and rewires the business to reduce network, payment, and back-office costs by using community hotspots, stablecoin rails, and on-chain settlement.
Inversion “flips a switch” in the existing top-up app, offering users a dollar-denominated balance alongside their data meter. This allows them to save, receive remittances, and pay merchants without new logins or crypto jargon.
By using stablecoins in the background, users benefit from dollar stability while the company enjoys instant, low-cost settlement. Inversion transforms everyday phone plans into a bridge between the mainstream world and the blockchain economy.
Before investing in any stablecoin, research the issuer, the backing assets, and the redemption process. Understand the risks involved and only invest what you can afford to lose.
This approach highlights the potential of blockchain-as-infrastructure. Monitoring the regulatory landscape in the US and the UK is crucial for understanding how this space will evolve.
