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SoFi Bank Launches Dollar Stablecoin on Public Blockchain
20 Dec
Summary
- SoFi Bank is the first US nationally chartered bank to issue a stablecoin.
- SoFiUSD is fully reserved, backed 1:1 by cash at the Federal Reserve.
- The stablecoin supports settlements for crypto, payments, and remittances.
SoFi Bank has achieved a significant milestone by becoming the first U.S. nationally chartered retail bank to issue a dollar-backed stablecoin on a public, permissionless blockchain. Named SoFiUSD, this new digital asset is fully reserved and directly issued by SoFi Bank, N.A., which is an OCC-regulated and FDIC-insured institution. The stablecoin is backed one-to-one by cash reserves held at the Federal Reserve, ensuring immediate redemption without credit or liquidity risks.
The launch signifies a pivotal moment as regulated U.S. banks increasingly integrate blockchain-based payment instruments. This move follows the passage of the GENIUS Act in July 2025, establishing a federal framework for payment stablecoins. This legislation, along with updated guidance from the OCC and FDIC, has provided regulatory clarity, allowing insured depository institutions to issue stablecoins under strict requirements after years of uncertainty.
SoFiUSD is slated for internal settlement activity and will soon be available to SoFi members. The stablecoin is intended for a range of settlement functions, including cryptocurrency trading, card network settlements, merchant payments, and international remittances. For users in countries with volatile currencies, SoFi plans to integrate SoFiUSD as a dollar-denominated balance within debit or secured credit products.
