ern Union’s Solana-based stablecoin and crypto cash-out network mark a strategic leap into blockchain-enabled remittances, analysts say.
What to Know
Western Union shares rose 6.5% on Tuesday after unveiling its Solana-based stablecoin and crypto off-ramp network.
William Blair said the move highlights how stablecoins represent an opportunity — not a threat — for remittance firms that innovate.
The bank maintained its market perform rating, citing slow core growth despite strong yield and digital progress.
Western Union (WU) shares jumped 6.5% on Tuesday after the company announced its upcoming U.S. Dollar Payment Token (USDPT), issued by Anchorage Digital Bank and running on the Solana blockchain. The firm also revealed a crypto cash-out network dubbed the Digital Asset Network, signaling a deeper push into blockchain-powered payments.
According to analysts at William Blair, Western Union’s move underscores that stablecoins are an opportunity, not a threat, for traditional remittance players willing to embrace innovation. The analysts expect more details at the company’s upcoming Investor Day on Nov. 6, noting that stablecoin-enabled remittances could help accelerate settlements, reduce pre-funding requirements, and enhance capital efficiency — particularly in inflation-prone emerging markets.
The Digital Asset Network, which offers cash-out access through 380,000 Western Union agent locations, demonstrates how established money-transfer firms can monetize stablecoin flows. However, William Blair noted that fiat on- and off-ramping remains a key challenge to scaling such services globally.
Despite meaningful progress in Western Union’s digital and consumer segments, analysts flagged sluggish core money-transfer growth and potential headwinds from a 2026 remittance tax.
William Blair reiterated its market perform rating, citing Western Union’s 10% dividend yield and low 5.3x 2026 P/E ratio as supportive factors. “Revenue acceleration and consistent digital execution remain the next major tests for management,” the analysts wrote.
