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 companies now exploring their potential uses. This shift is driving a new wave of adoption, as the industry transitions from building basic infrastructure to developing practical business applications, according to Chunda McCain, co-founder of Paxos Labs. In a recent interview with CoinDesk, McCain noted that the initial focus on creating stablecoins has given way to a new question: what's next? Paxos Labs, a subsidiary of Paxos, the New York-based digital asset firm behind popular stablecoins like PayPal's PYUSD and the Global Dollar, has secured $12 million in strategic funding to develop a 'financial utility stack' that enables companies to integrate digital assets into their products through a single integration. The company's newly launched Amplify Suite offers three core tools: Earn, which provides yield on digital assets; Borrow, which facilitates 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 basic capabilities like trading, custody, or issuing stablecoins, which have rarely generated significant returns on their own. However, the true potential of stablecoins lies in how they are used. One clear example is payments, where merchants typically incur fees of 2-3%, while stablecoin rails can reduce these costs and even generate yield on on-chain balances. This allows companies to turn a traditional cost into a revenue stream. Some novel use cases exist at the intersection of payments and credit, where payment providers can underwrite loans based on real-time merchant performance, enabling merchants to access financing while earning yield on incoming payments and settling transactions instantly across borders. While not every company needs its own stablecoin, many can still benefit from integrating existing stablecoins and enjoying lower costs and added yield. This shift may lack the hype surrounding big firms launching their own tokens, but it has a tangible impact on business operations. Stablecoins are starting to reshape profit margins, unlock credit, and change the way money moves globally, particularly in areas where traditional systems are costly or slow.