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 faster global transactions, with businesses now exploring their practical applications. This shift is driving a new wave of adoption, according to Chunda McCain, co-founder of Paxos Labs, who notes that the industry is transitioning from basic infrastructure to tangible business use cases. McCain stated in an interview with CoinDesk, 'Initially, the focus was on obtaining a stablecoin. Now, the question is: what's next?' Paxos Labs recently secured $12 million in strategic funding, led by Blockchain Capital, to develop a 'financial utility stack' that enables companies to convert digital assets into products through a single integration. The newly launched Amplify Suite offers three primary tools: Earn, which provides yield on digital assets; Borrow, which enables lending against them; and Mint, which supports the creation of branded stablecoins. This allows firms to integrate tokens into their business and add capabilities over time. Converting Expenses into Revenue For years, enterprise crypto adoption focused on initial capabilities like trading, custody, or issuing a stablecoin. However, these steps rarely generated significant returns on their own, according to McCain. 'Stablecoins have been loss leaders for years,' he said. The opportunity lies in how these assets are utilized. Payments are a clear example: merchants typically incur 2% to 3% fees, while stablecoin rails can reduce these costs and even generate yield on balances held on the blockchain. 'You convert what has always been an expense into revenue,' he said. Some novel use cases exist at the intersection of payments and credit. Payment providers already track merchant revenues and cash flow, which positions them to underwrite loans, McCain argued. This could allow 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 Token To capture these benefits, not every company needs to issue its own stablecoin. While companies like PayPal have launched branded tokens to control payments and margins, issuing one requires significant investment in liquidity, compliance, and distribution. 'If you only need the economic benefits, you don't need to create your own,' McCain said. Many firms can 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 reshape margins, unlock credit, and change how money moves globally, particularly where traditional systems remain costly or slow. 'It may sound unexciting, but this is the underlying math,' McCain said.