In a dynamic session at Consensus 2025 presented by Coinbase, industry powerhouses Jose Fernandez da Ponte, SVP of Blockchain, Crypto & Digital Currencies at PayPal, and Anthony Soohoo, Chairman & CEO of MoneyGram, joined MacKenzie Sigalos of CNBC to discuss the current and future state of stablecoins. They explored growing adoption, real-world uses, trust, regulation, and the shifting roles of traditional finance.
The Stablecoin Value Equation: Beyond Market Cap
Jose Fernandez da Ponte opened with a key insight: market cap isn’t everything.
“We care about market cap because it drives equity… but we care a lot more about on-chain transfer volume, velocity, and active wallets.”
This reflects PayPal’s vision: stablecoins should flow – between users, wallets, and across borders – not just sit in reserves. While interest-bearing reserves currently support the model, da Ponte predicts a shift. As rates fall and competition grows, utility – not just assets – will drive the stablecoin economy.
PayPal’s Competitive Edge: Scale and Seamless Integration
What sets PYUSD apart? Access and scale.
“Our uniqueness lies in access to the PayPal and Venmo networks… over 100 million potential accounts with easy fiat-on/off ramps.”
PayPal is using its large fintech network to build a stablecoin system that works across platforms, is open to everyone, and easy for developers to use. Launches on Ethereum and Solana are just the beginning.
Global Reach, Local Trust: MoneyGram’s Off-Ramp Strategy
Anthony Soohoo emphasized that accessibility and trust are key pillars of financial inclusion.
“We operate in over 200 countries, with nearly half a billion retail locations where people can cash in or out.”
MoneyGram bridges digital assets with physical finance – critical in emerging markets where trust in local systems often outweighs confidence in unfamiliar tech. The company positions itself as the trusted link between cash economies and decentralized finance.
Banks Entering the Arena: Trump Family & Stablecoin Politics
The conversation shifted politically with the mention of USD1, a new stablecoin linked to a major crypto bank reportedly backed by the Trump family.
Jose Fernandez da Ponte made it clear that he’s not too worried about political connections themselves. “I’m less concerned about political ties,” he said. “I’m more concerned about early concentration. Right now, a few players control over 80% of stablecoin market cap.”
He explained that having too much control in the hands of just a few companies could slow down innovation and create risk for the entire system. If these companies also have strong political ties, it could affect how fair and open the market is. “Stablecoins were meant to be open and decentralized,” he added. “If we just replace old gatekeepers with new ones, we’re not really making progress.”
Da Ponte said the industry should focus on building systems that are transparent, work well together, and follow clear rules. To him, what matters most is giving everyone equal access—no matter who they are or who they’re connected to. He believes the market will find balance over time, but it’s important to stay alert as new players with strong political backing enter the space.
The Challenge of Using Stablecoins in Developed Countries
One big challenge that keeps coming up in the world of stablecoins is this: people in developed countries just aren’t using them much yet. Despite all the buzz, stablecoins haven’t become a part of everyday life for most Canadians, Europeans, or Americans.
Jose Fernandez da Ponte put it plainly during the discussion:
“Why would someone in Canada or Europe use stablecoins when they already have credit cards, Apple Pay, and other easy payment options?”
It’s a fair question. In places where the financial system is strong and reliable, people don’t feel the same urgent need to switch to new digital currencies. Credit cards and mobile payment apps already work well, are widely accepted, and feel familiar.
The key difference lies in how useful stablecoins really are for everyday life. In countries where the local currency is unstable or inflation is high, stablecoins act like a safe haven – they help people protect their money from losing value. This makes them very attractive and practical.
But in countries with stable money and solid banking systems, stablecoins need to prove they can do more than just hold value. They have to offer real, unique benefits that make life easier or cheaper. For example, they could help people buy property faster and with fewer fees, send money across borders quickly and cheaply, or handle payments that require extra security in uncertain regions.
Until stablecoins show clear advantages like these, convincing people in developed markets to switch will be a tough challenge. The technology is promising, but the everyday usefulness has to catch up. Only when stablecoins can solve real problems and offer practical benefits will they move beyond being just a niche option to becoming a trusted part of how people manage their money.
Trust Is the Most Important Foundation
Both Jose Fernandez da Ponte and Anthony Soohoo agreed on one key thing: trust will decide the future of stablecoins. No matter how good the technology is, if people don’t trust it, they won’t use it.
The crypto world has seen many problems – hacks, security failures, and projects that didn’t work out. These issues show how important it is to build systems that are safe, clear, and focused on users.
Da Ponte said people want to know their money is protected and that the system is fair and open. Soohoo added that trust is especially important in places where people rely on digital money to send funds to family. If the system isn’t easy or safe, they won’t use it.
Both also agreed that good rules from regulators can help. Instead of blocking progress, clear regulations can protect users and help the market grow. Da Ponte said it’s important for regulators and companies to work together on this.
Stablecoins also need to work well all the time – fast, reliable, and able to operate globally without issues. This will help build even more trust.
In short, trust isn’t just one part of stablecoins – it’s the most important foundation. To become part of everyday life, stablecoins must earn and keep that trust. Only then can they truly change the way we use money.
Final Thoughts: The Road to $1.5 Trillion
The stablecoin market is expected to grow a lot, from about $250 billion today to $1.5 trillion in the next five years. Because of this big growth, working together and finding new ideas is more important than ever.
Anthony Soohoo said, “We welcome collaboration, even with competitors. It is about helping people move their money faster, cheaper, and safer no matter where they are.”
This teamwork is needed because stablecoins can change global finance by lowering costs, making cross-border payments faster, and giving more people access to financial services.
Companies like PayPal have huge networks with over 100 million users, while MoneyGram connects cash users around the world with digital money. At the same time, new political and financial groups are joining the space, bringing both new chances and challenges.
Stablecoins are not just a trend; they are becoming a key part of the digital economy. But success will depend on building systems that are safe, clear, and trusted by users everywhere.
