SoFi taps BitGo to provide infrastructure for bank-issued stablecoin

BitGo will support the rollout of US dollar-pegged stablecoin SoFiUSD, as US fintechs and banks expand digital dollar infrastructure following new federal legislation.

SoFi Technologies has selected digital asset custodian BitGo to support the rollout of its bank-issued stablecoin, the latest sign of growing momentum around federally regulated stablecoins for payments and settlements.

Under the partnership, BitGo will provide stablecoin infrastructure services for SoFiUSD, a US dollar-pegged token issued by SoFi Bank, a nationally chartered and insured depository institution, the companies disclosed Thursday. 

The arrangement will run through BitGo’s “stablecoin-as-a-service” platform, which will support the issuance of SoFiUSD and help connect the token with payment providers, market participants and cryptocurrency exchanges.

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