 ▲ USDPT/AI-generated image |
Western Union, the 174-year-old global remittance giant, has officially launched its own asset, USDPT, based on the Solana network, shaking up the cross-border payments market long dominated by Ripple and XRP.
According to cryptocurrency media outlet U.Today on March 5 (local time), Western Union has begun developing USDPT with the goal of commercial deployment in the first half of 2026. Issued on the Solana (SOL) blockchain, USDPT will serve as a key instrument to reform the high-cost structure of traditional remittance systems. Western Union has partnered with federally regulated Anchorage Digital Bank to establish custody and issuance infrastructure for the asset.
Solana’s exceptional processing speed and low transaction fees are core competitive advantages of the initiative. USDPT will be pegged 1:1 to the U.S. dollar, with Anchorage Digital Bank overseeing issuance and regulatory compliance to enhance trust. Leveraging technology capable of processing more than 65,000 transactions per second, Western Union plans to reduce cross-border remittance times from several days to just seconds.
This move is expected to pose a significant threat to established crypto-based remittance leaders such as Ripple and XRP. Western Union, which previously collaborated with Ripple on real-time payment tests, has now decided to secure control of its payment ecosystem independently. By integrating its vast offline retail network spanning nearly 200 countries with USDPT, the company aims to gain a competitive edge over services like PayPal and MoneyGram.
Collaboration with Crossmint will serve as a bridge between digital assets and fiat currency. Western Union Vice Chairman and CEO Devin McGrannahan stated that USDPT will become the backbone enabling instant asset transfers within its network. Crossmint co-founder Rodrigo Fernandez-Idas added that the partnership will create an environment where digital assets can be instantly converted into local fiat currencies at more than 360,000 locations worldwide.
Industry observers note that the passage of the GENIUS Act, a stablecoin regulatory framework, has reduced regulatory uncertainty and acted as a catalyst for the project. The attempt to lower the global average remittance fee of 6.5% to below 1% could demonstrate the real-world utility of digital assets. The adoption of blockchain technology by a major remittance company is also expected to significantly improve financial accessibility for underserved populations.
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