BitGo Bank & Trust Picked to Support SoFiUSD Stablecoin (price-pegged crypto asset)

According to BitGo, its subsidiary will provide infrastructure and distribution for SoFiUSD, a stablecoin (price-pegged crypto asset) issued by SoFi Bank (U.S. bank) on a public, permissionless blockchain (open to anyone)—the first by a nationally chartered and insured U.S. bank.

Summary

BitGo said its subsidiary, BitGo Bank & Trust, was selected to provide stablecoin infrastructure and distribution support for SoFiUSD. The U.S. dollar stablecoin (price-pegged crypto asset) is issued by SoFi Bank (U.S. bank). It is described as the first USD stablecoin issued on a public, permissionless blockchain (open to anyone) by a nationally chartered and insured U.S. bank. The move signals expanding collaboration between traditional banks and crypto infrastructure providers.

Terms & Concepts
  • Stablecoin: A cryptocurrency designed to maintain a stable value by pegging to a reserve asset like the U.S. dollar.
  • Permissionless blockchain: An open network where anyone can read, write, or validate transactions without approval.
  • Stablecoin infrastructure: The technical systems that enable issuance, management, and distribution of a stablecoin.