The USA Payments Shift: When Stablecoins, CBDCs, and Crypto Collide

Zinah Abdaki
Nov 13
4 min read

The United States is entering a defining moment for digital money. For the first time, private stablecoins, public central bank digital currency (CBDC) initiatives, and cryptocurrencies are advancing simultaneously, creating an entirely new financial architecture. This shift is not theoretical; it is regulatory, structural, and competitive, with the potential to reshape how value moves within and beyond America’s borders.

According to the Bank for International Settlements (BIS), 91% of 93 central banks are exploring retail or wholesale CBDCs.

Meanwhile, the private sector is rapidly scaling digital assets. Stablecoin supply has reached USD 250 billion, up from USD 159 billion in August 2024, led by Tether (USDT) and Circle (USDC). Once tied to crypto-market swings, stablecoins are now gaining resilience through real-world use cases in payments, remittances, and tokenised settlement.

Here are four developments shaping the next chapter of America’s digital payments evolution.

1. Stablecoins Enter a Regulated Era

The enactment of the GENIUS Act in July 2025 established the United States’ first federal regulatory framework for payment stablecoins. Under the new law, only certified issuers may issue U.S. dollar-denominated stablecoins, and those issuers must meet strict backing and disclosure standards. Early moves by firms such as Circle and PayPal indicate a strategic shift toward partnerships with regulated banks to issue stablecoins under this new regime. With this clarity of regulation in place, stablecoins are increasingly positioned as programmable digital-dollar rails, potentially shortening settlement times and bridging legacy finance with blockchain-based infrastructure.

2. The CBDC Debate Shifts Toward a Hybrid Model

While the Federal Reserve has not committed to launching a retail CBDC, ongoing research and policy discussions explore a two-tier hybrid model, in which licensed private entities would issue digital tokens backed by central-bank reserves. This design blends public trust with private innovation, reflecting proposals by MIT’s Project Hamilton and the Digital Dollar Project for interoperable layers of digital money. Such a framework would allow stablecoins and CBDCs to coexist, combining the programmability of blockchain with the resilience of the banking system. For financial institutions, it opens the door to future use cases such as programmable settlement logic that could automate tax, compliance, or liquidity functions in real time.

3. Crypto Infrastructure Becomes the Back-End Layer

Despite volatility, networks such as Ethereum and Solana are increasingly serving as the settlement infrastructure for digital finance. Tokenised U.S. Treasuries on these blockchains now exceed USD 1.5 billion in circulation, according to DeFiLlama (2025), driven by institutional products like Franklin Templeton’s BENJI and Ondo Finance’s OUSG.

These same networks also host the largest stablecoins, USDC, USDT, and PYUSD, which are now used in pilots for corporate remittances, treasury management, and cross-border payroll. The focus is shifting from speculative trading to infrastructure value: secure, programmable, interoperable rails that support near-real-time clearing and lower settlement costs.

4. Strategic Implications for Financial Institutions and Global Trade

For U.S. banks and fintechs, the convergence of private and public digital money demands a fundamental re-engineering of core systems. Settlement, custody, and liquidity management must evolve to operate in tokenised environments. Major institutions such as JPMorgan and Citi are already piloting token-based settlement platforms, designed to interoperate with real-time payment infrastructures like FedNow.

At the cross-border level, dollar-backed stablecoins are reinforcing the USD’s role in global trade, supporting faster and cheaper settlement in regions with limited correspondent banking access. Yet, as the European Union and China accelerate their digital currency rollouts, the U.S. faces a strategic crossroads, balancing innovation with monetary sovereignty to preserve its long-term leadership in global finance.

The Road Ahead: Designing the Next Monetary Layer

Over the next 18 months, the U.S. digital money landscape will move from experimentation to execution, where licensed issuers, interoperable infrastructures, and programmable settlement logic become part of daily financial operations.

Discover how this transformation is unfolding at the 23rd NextGen Payments & RegTech Forum, taking place on 13–14 November 2025 at the Hilton Hotel, Austin, Texas, USA.

Book now to enjoy a 10% discount before it expires. Contact info@qubevents.com to claim the discount.

To register and access the agenda: https://bit.ly/3PF6eEE

For more information on registration, please contact info@qubevents.com

By: Zinah Abdaki, Head of Marketing at QUBE Events