Seven prominent crypto firms have united to establish common standards for cross-chain stablecoin transfers. This initiative follows a significant year in 2024, during which stablecoin transfer volumes surpassed those of major payment processors like Visa and Mastercard.
The organizations involved – Fireblocks, the Solana Foundation, TON Foundation, Polygon Labs, Stellar Development Foundation, Mysten Labs, and Monad Foundation – announced on Thursday their collaboration to form the Blockchain Payments Consortium (BPC).
The primary objective of the BPC is to develop a "common framework that enhances blockchain transactions with traditional data requirements of traditional payments."
In its manifesto, the BPC stated, "Blockchain rails are reshaping the global payments landscape. But for blockchain payments to reach full potential, we must address the inconsistent and fragmented experiences individuals and institutions face when moving between traditional payments and blockchain."
According to blockchain analytics platform Artemis Terminal, stablecoin transfer volumes have increased by 4.36% in the last 30 days, with adjusted transaction volume exceeding $3.7 trillion.
For the entirety of 2024, the total volume reached $27.6 trillion, surpassing the combined volumes of Visa and Mastercard by 7.7%.
Framework Aims to Spur Adoption
A key goal of the BPC is to facilitate faster, low-cost cross-border payments and remittances. Additionally, the consortium aims to integrate blockchain ecosystems into traditional finance and ensure alignment with regulatory bodies.
The BPC stated, "This will enable financial institutions, enterprises, and other organizations to build systems that work seamlessly across networks and borders."
The group also expressed its intention to "act as a bridge between blockchain ecosystems, regulators, and traditional financial institutions; offering a consistent, interoperable framework for compliance across jurisdictions."
A Critical Step Toward Maturity
Raja Chakravorti, chief business officer at the Stellar Development Foundation, described the alliance as "a critical step forward in maturing our industry."
Fireblocks noted that the absence of a "shared language for blockchain payments" leads to "friction, fragmentation, and missed potential."
Ran Goldi, Fireblocks' senior vice president of payments, commented that while the industry has begun to see wider adoption, increased collaboration is essential.
Goldi elaborated, "Over the last 18 months, our industry has achieved mainstream adoption, with payments at the forefront. As more established players enter the space, improving how we collaborate, coordinate, and operate together is essential."