Key facts
- MassPay and Coinbase have partnered to offer stablecoin-powered cross-border payouts.
- The integration allows for seamless movement between fiat, USDC, and other digital assets.
- Businesses using the new system have reported cost reductions of 40% to 70% and near-instant settlement.
- Coinbase will provide wallet infrastructure, custody, and on-chain settlement services.
- MassPay will manage last-mile payouts and compliance responsibilities across its network.
Cross-border payment platform MassPay has partnered with cryptocurrency exchange Coinbase to integrate stablecoin payouts, aiming to enhance speed and reduce costs for global business transactions. The collaboration leverages Coinbase's infrastructure to enable seamless conversions between fiat currencies, USD Coin (USDC), and other digital assets.
MassPay CEO Ran Grushkowsky stated that while stablecoins currently represent a small portion of the company's transaction volume, they anticipate significant growth, potentially handling nine-figure payouts within the first year. Clients utilizing this new payment rail have already experienced cost savings ranging from 40% to 70% compared to traditional international wire transfers, with settlement times reduced to near-instantaneous from several days.
Under the agreement, Coinbase will supply the necessary wallet infrastructure, custody services, and on-chain settlement capabilities. MassPay will manage the orchestration of last-mile payouts through various channels, including bank transfers, mobile wallets, and digital asset networks. Compliance responsibilities will be shared, with Coinbase offering regulated custodial infrastructure and licensing, while MassPay will conduct know-your-customer checks, sanctions screening, and manage tax documentation across its extensive network.
This move by MassPay aligns with a broader industry trend where established financial infrastructure providers are increasingly adopting stablecoins for cross-border payments. Companies like Stripe, which acquired a stablecoin-focused startup, and Circle, with its Circle Payments Network, are also developing similar solutions to facilitate faster and more efficient international commerce.