Recently, Zelle announced that it will enable international transfers using stablecoins.
Zelle is a direct and fast way to send and receive money with enrolled friends, family, and others. The bank-owned money transfer app is currently used by more than 100 million US customers for domestic payments.
Zelle is owned by Bank of America, Capital One, JPMorgan Chase, PNC Bank, Truist, US Bank and Wells Fargo.
The announcement comes in an optimistic general crypto market. On October 26, the general crypto market cap surged by more than 1%, and Bitcoin surpassed $112,000.
Official Zelle Announcement
In the official announcement notes, it has been revealed that Early Warning Services, which is the parent company of Zelle, said that the $1 trillion payments network will expand internationally by leveraging stablecoins for cross-border transactions.
This marks an important entry by the US banks into the digital asset era. As we highlighted before, stablecoins are an important part of the crypto ecosystem, bridging the world of traditional finance and the innovative world of Web3.
On October 26, the current market cap of stablecoins is over $316,6 billion.
Zelle Becomes a Direct Competitor to PayPal, Wise, and Others
With this latest move, Zelle becomes a direct competitor to well-established cross-border payment giants, including PayPal and Wise, and is now a challenger to other stablecoin-powered remittance services.
Zelle’s manager also said that the use of stablecoins would enable the project to deliver faster and more reliable cross-border money movement.
The CEO of Early Warning Services, Cameron Fowler has cited improved regulatory clarity from Trump’s administration legislation.
A More Crypto-Friendly Approach in the US
The important announcement comes following an improvement in the stablecoins environment in the US following the passage of the US GENIUS Act.
It’s also worth noting that during the latest Fed conference in the US that took place on October 21st, crypto has seen huge support, bringing optimism for the future of the industry, among other factors.
