Western Union is writing a new chapter from its 1851 telegraph roots with its own dollar-backed stablecoin: USDPT (U.S. Dollar Payment Token).

To be built on the Solana blockchain, with issuance via Anchorage Digital Bank, Western Union is aiming for a USDPT launch in the first half of 2026.

By offering a digital token for cross-border transfers, the company seeks to tap into the large and growing global remittance business, reduce currency-conversion frictions, and speed settlement times.

While Western Union doesn’t regularly publish total annual principal value moved, industry estimates place its global transfers in the hundreds of billions of dollars each year. One analysis, based on the company’s 2024 revenue, estimates Western Union processes around $135 billion annually.

Launching a stablecoin and digital-asset network into a business already handling over $100 billion in transfers each year presents major upside.

Also by issuing USDPT, Western Union could reduce reliance on legacy correspondent-bank networks and foreign-exchange conversion chains. A blockchain-based token allows near-instant settlement, lower intermediary costs, and fewer conversion steps — all while broadening access for users across the globe.

GENIUS Act

The move also coincides with new regulatory clarity stemming from President Donald Trump’s GENIUS Act, signed into law this summer.

The Guiding and Establishing National Innovation for U.S. Stablecoins Act created the first national framework for stablecoins, requiring issuers to hold reserves in cash, short-term Treasurys, or other safe assets, and to meet transparency and audit standards.

For Western Union, this provides the green light to innovate confidently within the new rules. With its global brand and compliance infrastructure, Western Union is well positioned to become one of the first traditional financial giants to scale a fully regulated, consumer-facing stablecoin.

With an agent network spanning 200+ countries and territories, Western Union can integrate digital-asset-to-fiat conversions in regions underserved by traditional banks — opening new markets and customer segments.

Its planned digital asset network would also allow partner crypto wallets and even non-Western Union users to convert tokens into local currencies through the company’s more than 400,000 retail locations.

Other players — including MoneyGram International, PayPal Holdings (via Xoom), and large banks developing their own stablecoins — are racing to capture the same opportunity. But Western Union’s 175-year reputation for reliability and global reach gives it a strong starting advantage.

While the potential is immense, success depends on consumer adoption, seamless integration, and robust compliance. Transitioning customers from cash-based transfers to digital wallets will take time. Western Union will also need to ensure USDPT’s backing remains transparent and fully reserved to maintain public trust.