Stablecoins Offer Businesses a New Revenue Stream, Says Paxos Labs Co-Founder

The $300 billion stablecoin market has evolved beyond its initial purpose of facilitating faster global transactions, with businesses now exploring ways to leverage these digital assets. This shift is driving a new wave of adoption, as companies move beyond basic infrastructure and focus on practical use cases, according to Chunda McCain, co-founder of Paxos Labs. McCain notes that the initial step of acquiring a stablecoin has given way to a new question: what's next? Recently, Paxos Labs secured $12 million in strategic funding, led by Blockchain Capital, to develop a 'financial utility stack' that enables companies to integrate digital assets into their products through a single integration. The Amplify Suite, launched by Paxos Labs, offers three core tools: Earn, which provides yield on digital assets; Borrow, which allows lending against these assets; and Mint, which supports the creation of branded stablecoins. This suite allows firms to integrate tokens into their business and add capabilities over time. For years, enterprise crypto adoption has focused on 'first-touch' capabilities like trading, custody, or issuing a stablecoin, but these steps have rarely generated returns on their own. According to McCain, the opportunity lies in how these assets are utilized, with payments being a prime example. Merchants typically incur 2% to 3% fees, but stablecoin-based payments can reduce these costs and generate yield on on-chain balances. This allows businesses to turn a traditional cost into revenue. Some novel use cases emerge at the intersection of payments and credit, where payment providers can underwrite loans based on merchant revenues and cash flow. This could enable merchants to access financing based on real-time performance, earn yield on incoming payments, and settle transactions instantly across borders. While not every company needs its own stablecoin, they can still benefit from lower costs and added yield by integrating existing stablecoins. The shift towards stablecoin adoption may lack hype, but it has a tangible impact on business operations, as stablecoins start to reshape margins, unlock credit, and change the way money moves globally, particularly in areas where traditional systems are costly or slow.