Western Union is accelerating its digital asset journey to modernize its global money transfer operations.
During the company’s third-quarter earnings call, CEO Devin McGranahan announced that Western Union has begun piloting a stablecoin-based payment system. The initiative aims to streamline international remittances and improve liquidity management.
Western Union tests stablecoin payments following US regulation changes
He said Western Union had previously remained cautious about cryptocurrencies due to volatility, unclear regulations and customer protection risks.
However, that approach is changing as the U.S. regulatory environment improves.
McGranahan said the recent passage of the GENIUS Act clarified federal rules for the issuance and use of stablecoins. This new framework will enable traditional payments companies to adopt blockchain-based solutions with more confidence.
As a result, Western Union has begun testing stablecoin-enabled tools within its treasury operations. These pilots will use blockchain payment rails to reduce dependence on correspondent banks, speed up cross-border payments, and improve capital efficiency.
“We are exploring how our global payments network can act as an entry and exit point between fiat and digital currencies,” he added.
Additionally, the money transfer giant is expanding its partnerships with digitally native companies. These companies aim to leverage Western Union’s infrastructure in regions where banking access remains limited but where cryptocurrency adoption is growing.
“This is not about speculation. This is about giving customers more choice and control over how they manage and move their money,” McGranahan said.
Meanwhile, the company’s digital transformation goes beyond stablecoin pilots.
Western Union is overhauling its technology stack and investing in a global digital payments rail. It is also expanding its digital wallet offering to Latin America, Africa, and Southeast Asia, where demand for remittances is high and blockchain adoption is accelerating.
Western Union’s renewed interest in stablecoins comes as competitors adopt similar tools. MoneyGram already supports USDC payments, and Remitly recently launched a multi-currency wallet that supports both fiat currencies and digital tokens.
These developments highlight a broader trend in which stablecoins are becoming important for reducing international transfer costs and improving liquidity for global payment providers.
Stablecoins can reduce remittance costs by up to 95%, reducing global average fees from approximately 6.6% to less than 3%. As a result, crypto-based payments have skyrocketed, increasing by 70% to more than $10 billion this year.
The article “Western Union embraces stablecoins amid global remittance overhaul” was first published on BeInCrypto.
