Western Union Plans Solana Stablecoin to Undercut 10–12% Remittance Fees
Western Union is exploring a Solana-based stablecoin launch to settle global remittances without SWIFT, aiming to undercut its own 10–12% transfer fees and enable faster, cheaper transfers. This blockchain push signals mounting competition that could pressure Visa’s cross-border transaction volumes and margins.
1. Stablecoin Initiative on Solana
Since late 2025, Western Union has been testing a Solana-based stablecoin to settle global transactions without relying on SWIFT rails, targeting faster settlement times and lower on-chain transaction costs.
2. Challenge to Traditional Fees and Infrastructure
The proposed stablecoin model could undercut Western Union’s current 10–12% remittance fees and introduce a low-cost alternative to bank wires, threatening both Western Union’s revenue and Visa’s share of cross-border transaction volume.
3. Solana Attracts Payment Giants
Major payment firms including PayPal, Visa and MoneyGram have explored blockchain solutions on Solana and Ethereum, highlighting growing institutional interest in leveraging blockchain networks for global payments.