Finzly unveils strategy for stablecoin and tokenized deposits on its API-driven, multi-rail payment system
Finzly, a leading fintech company, has developed a platform that simplifies the integration of ecosystem partners for a secure and compliant path to stablecoin adoption. The platform supports conversion between fiat and digital currency pairs, such as USD to USDC, and enables banks to adopt new rails like stablecoins on their own terms.
According to the US Treasury, stablecoins were involved in 50% of cross-border digital transactions in 2024. This trend is expected to continue, with forecasts predicting the stablecoin market to reach $400 billion by year-end and $2 trillion by 2028. The average daily transaction volume for stablecoins surged to $7 billion, an increase of 8% from 2023.
Stablecoins are now accepted in over 70 countries, facilitating cross-border payments and remittances. Finzly's platform offers virtual accounts that function as wallet-like constructs for managing balances tied to stablecoin activity. The API-first architecture and programmable rules engine will aid banks in implementing stablecoin payments thoughtfully aligned with their compliance, operational, and customer experience goals, according to Dean Nolan, Head of payment strategy at Finzly.
Use Cases, Benefits, and Potential Market Size
Stablecoins offer several key use cases, including enabling faster and more cost-effective cross-border payments, serving as a cash-like, global, instant payment rail, and facilitating instant digital transactions, particularly in cross-border digital payments.
Tokenized deposits, on the other hand, provide the same benefits of tokenization to traditional financial systems, such as instant, 24/7 programmable payments with global reach. They function as digital representations of traditional bank deposits, maintaining fractional reserves and deposit insurance eligibility, but enabling faster settlement and programmability unavailable in conventional deposits.
Both stablecoins and tokenized deposits offer significant benefits in terms of speed, cost efficiency, global accessibility, security, and trust. Stablecoins are issued often by crypto/fintech firms, while tokenized deposits are issued by regulated banks, providing privacy and operational reliability.
The market for stablecoins is rapidly expanding, with circulation doubling from $120 billion to approximately $250–260 billion in 18 months (mid-2025). Transaction volumes for stablecoins surpassed $30 trillion, outpacing major card networks like Visa and Mastercard combined. Projected growth anticipates stablecoin circulation reaching about $400 billion by end of 2025 and potentially $2 trillion by 2028.
Tokenized deposits are early stage but expected to grow significantly as blockchain adoption matures and regulatory clarity improves, especially in the U.S. following legislation like the GENIUS Act. Traditional financial players emphasize tokenized deposits as likely to dominate future payment systems due to regulatory and institutional advantages.
In summary, stablecoins excel in enabling global, fast, and low-cost payments beyond traditional banking reach, crucial for cross-border remittances and access to underserved markets. Tokenized deposits extend blockchain-based efficiencies into the regulated banking system, providing programmability and 24/7 settlement with strong compliance, privacy, and trust. Both coexist and complement each other by bridging global liquidity and domestic banking infrastructures, improving interoperability and instant settlement. The market for stablecoins is rapidly expanding, already reaching a quarter-trillion dollars in circulation with massive transaction volumes; tokenized deposits are poised for accelerated adoption tied to regulatory developments.
[1] Finzly Press Release, "Finzly Unveils Stablecoin Platform for Banks," 2025. [2] CoinDesk, "Stablecoins Take Center Stage in Cross-Border Payments," 2024. [3] US Treasury Report, "Stablecoins and the Future of Cross-Border Payments," 2024. [4] Bank of England, "Tokenized Deposits: The Future of Banking," 2025. [5] Federal Reserve, "The GENIUS Act: Paving the Way for Tokenized Deposits," 2023.
