Stablecoins Can Transform Business Expenses into Revenue Streams, According to Paxos Labs Co-Founder

The $300 billion stablecoin market has evolved beyond its initial purpose of facilitating rapid global transactions, with companies now exploring ways to maximize their potential. This shift has sparked a new wave of adoption, driven by the pursuit of practical business applications, according to Chunda McCain, co-founder of Paxos Labs. In a recent interview with CoinDesk, McCain noted that the industry is transitioning from building basic infrastructure to focusing on real-world use cases. "The initial step was to establish a stablecoin, and now the question is: what's next?" he said. Paxos Labs recently secured $12 million in strategic funding, led by Blockchain Capital, with participation from Robot Ventures, Maelstrom, and Uniswap. The funds will be used to develop a "financial utility stack" that enables companies to integrate digital assets into their products through a single integration. The newly launched Amplify Suite 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 is designed to allow firms to integrate tokens into their business and gradually add more capabilities over time. For years, enterprise crypto adoption has focused on initial capabilities like trading, custody, or issuing stablecoins. However, these steps rarely generated significant returns on their own, according to McCain. "Stablecoins have been loss leaders for years," he stated. The true opportunity lies in how these assets are utilized. Payments are a prime example, as merchants typically incur 2% to 3% fees, while stablecoin rails can reduce these costs and even generate yield on balances held on-chain. "You transform what has always been a cost into revenue," McCain explained. Some innovative use cases emerge at the intersection of payments and credit. Payment providers already track merchant revenues and cash flow, positioning them to underwrite loans, McCain argued. This could enable merchants to access financing based on real-time performance, earn yield on incoming payments, and settle transactions instantly across borders. Although these models are still in their early stages, the building blocks are starting to come together, he said. Not every company needs its own stablecoin to capture these benefits. While some companies, like PayPal, have launched branded tokens to control payments and margins, issuing one requires significant investment in liquidity, compliance, and distribution. "If you just need the economics, you don't need to build your own," McCain said. Many firms can instead integrate existing stablecoins and still benefit from lower costs and added yield. This shift may lack the hype surrounding big firms like Western Union announcing their own token, but it has a tangible impact on how businesses operate. Stablecoins are starting to redefine margins, unlock credit, and change how money moves globally, especially in areas where traditional systems are costly or slow. "It might sound boring, but this is the math," McCain said.