Mastercard to Settle Card Transactions in SoFiUSD

Mastercard announced plans to allow back-end settlement of card transactions using SoFiUSD, a dollar-backed stablecoin issued by SoFi Bank, N.A. Galileo Financial Technologies, SoFi’s payments platform, will enable banks and fintech issuers on its network to opt into stablecoin settlement. Mastercard will route token instructions through its Multi-Token Network.

The change applies to clearing and settlement rather than the point-of-sale experience. Card payments will still be authorized and confirmed at checkout and merchants will continue to receive funds in the usual way. The new option affects the later stage when issuing and acquiring banks reconcile balances.

Under the agreement, SoFi Bank, N.A. can meet settlement obligations for Mastercard credit and debit transactions by transferring SoFiUSD over blockchain rails. Issuers on Galileo’s platform may choose to satisfy those obligations by sending SoFiUSD instead of, or alongside, traditional fiat transfers through banking channels.

Token rails operate 24 hours a day and can reduce the time institutions hold unsettled balances. Mastercard’s Multi-Token Network is built to accept stablecoins, tokenized deposits and digital representations of fiat while enforcing compliance controls for participating institutions.

SoFiUSD is issued by a nationally chartered U.S. bank and is reported to maintain cash reserves on a one-to-one basis. Mastercard and its partners are positioning regulated, bank-issued stablecoins as an option for settlement on mainstream payment rails.

Industry data show the stablecoin market’s valuation reached about $314 billion in March 2026. Monthly transaction volume peaked at a reported $969.9 billion in 2025 and is projected to exceed $1 trillion by the end of 2026. Card networks are expanding settlement options as usage of tokenized dollars grows.

Adoption will require technical and regulatory work. Banks and processors must integrate with token rails and manage liquidity between fiat and digital reserves. Regulators seek clear rules on reserve backing, redemption rights, anti-money-laundering controls and operational resilience. Interoperability between blockchains and existing financial networks varies across jurisdictions.

Other payment networks have tested stablecoin or tokenized-dollar settlement for cross-border transfers and corporate payouts. For now, settling in SoFiUSD is an optional pathway; traditional settlement channels remain available and consumers should see no change at checkout.