Stablecoin-Focused Networks: Another Step Toward the Mainstream

The new Layer 1 networks being developed by Stripe and Circle, focused on stablecoins, will become the backbone of a faster and more cost-effective payment economy. To this point, public Layer 1s haven’t provided the stable technological foundation financial institutions require to engage with stablecoins. These new networks will fill that void and help remove the final barriers to adoption. 

This Javelin Strategy & Research report examines the network plans of Stripe and Circle and explains how FIs can engage with the technology. The bottom line: Stablecoins are here to stay as a fundamental part of the payments. FIs should not be questioning if but how they can adopt a stablecoin-focused infrastructure into their existing systems.

Key questions discussed in this Digital Assets & Crypto report: 

• What differentiates a stablecoin-focused Layer 1?
• What are the key differences between Tempo and Arc?
• Why does the push for these new base layers matter for financial institutions? 

Companies Mentioned: 

Anthropic, Blockworks, Circle, CoinDesk, Cointelegraph, Deutsche Bank, DoorDash, Fireblocks, Nubank, OpenAI, Revolut, Shopify, Standard Chartered, Stripe, Visa