Bernardo Brites, CEO of Trace Finance, notes that institutional stablecoin payments are increasingly tied to traditional banking. Recent industry moves, such as Stripe’s $1.1 billion acquisition of Bridge, Citi’s crypto custody launch, and Standard Chartered’s settlement tests in Singapore, confirm this trend.
While stablecoins can replace correspondent banks for cross-border transfers, traditional banks remain vital for fiat conversion and compliance. In 2025, global cross-border payments reached $208 trillion, while genuine stablecoin payments were estimated at $390 billion annually by late 2025.
Brites highlights that institutional volume requires robust banking relationships. For instance, Brazil’s Pix system processed over BRL 35 trillion in 2025, with B2B transactions accounting for 47% of that value. Companies scaling to $10 billion in volume must manage complex banking and licensing needs.
Operational risks, such as the collapse of Silvergate Bank and Signature Bank, demonstrate the danger of relying on a single banking partner. Providers must maintain multiple relationships and redundant access to local payment systems to ensure continuity and regulatory compliance across jurisdictions.
Regulatory frameworks like the GENIUS Act are pushing issuers toward bank-grade standards. According to an EY-Parthenon survey, 13% of financial institutions and corporations currently use stablecoins, and 80% of those not yet using them are considering adoption.
