Western Union – the oldest name in the international money transfer industry – is entering a new game: Stablecoin. Faced with fierce competition from modern fintech companies and declining revenues, this 'giant' is taking bold steps to combine traditional money transfer services with digital currency technology.

New Plan: Faster, Cheaper, More Efficient

Western Union’s CEO, Devin McGranahan, recently affirmed that stablecoins are not a threat but an opportunity for growth. In an interview, he shared that the company is implementing plans to allow users to buy and sell stablecoins directly on its platform.

The goal is to reduce costs, speed up transaction times, and help users transfer money across borders without facing the delays of traditional banking systems.

Currently, Western Union has begun testing a new payment system in regions like South America and Africa – where people have an urgent need for solutions to convert digital money into local cash. In these places, stablecoins are also seen as a 'safe haven' when the local currency depreciates.

Stablecoin Shakes Up the Traditional Remittance Industry

It is no longer a secret: names like Western Union and MoneyGram are gradually losing market share to digital money transfer companies like Wise and Remitly, thanks to their low-cost operational model based solely on online platforms.

Stablecoin – with fast transaction speeds, low fees, and high liquidity – is truly 'disrupting' the long-standing remittance industry.

Meanwhile, Western Union is forced to act in the context of a 22% drop in app downloads and a 6% decline in Q1 2025 revenue, down to just 984 million USD. Competitor MoneyGram has even taken a step ahead by launching MoneyGram Wallet last year – an e-wallet that allows sending USDC stablecoin and withdrawing cash in over 180 countries.

According to financial industry experts, if traditional companies do not quickly adapt, they will be left behind. And the current moment is 'golden' for transformation – thanks to the new GENIUS Act from the Trump administration, which helps establish clearer regulations for stablecoins in the U.S.

With the expanded legal framework, large banks and long-established money transfer companies like Western Union feel confident enough to join the stablecoin playing field.

It is no coincidence that the stablecoin market has just reached a record capitalization of 262 billion USD. The new move by Western Union may be the most significant shift to maintain its position amid the digital transformation wave sweeping across the entire global financial ecosystem.

Conclusion

Western Union may have arrived late to the stablecoin game, but it is not without opportunities. If they can leverage technology, their long-standing reputation, and a global distribution system, they could very well return to the race – with a completely new image: a traditional 'giant' that knows how to adapt to the era of decentralized finance.