Coinbase has recently launched USDF in collaboration with Flipcash, introducing a Solana-based stablecoin that is backed 1:1 by Circle’s USD Coin (USDC). This initiative marks a significant step in the crypto exchange’s strategy to enhance its infrastructure offerings for companies looking to create their own branded digital currencies.
According to a Wednesday announcement, USDF is designed to act as the primary settlement asset within Flipcash, a platform that enables users to create fixed-supply digital currencies priced and transacted in this stablecoin. Flipcash emphasized that this new token will serve as the essential dollar asset within its application.
In December, Coinbase had unveiled a white-label stablecoin issuance service aimed at businesses wanting to develop branded digital dollar products without having to manage their own reserve, custody, or settlement frameworks. This service encompasses fiat onramps, wallet offerings, and the backing of USDC reserves. It highlighted collaborations with companies like Solflare, R2, and Flipcash, all exploring potential launches using Coinbase’s system.
Flipcash chose Coinbase’s platform for its robust USDC-backed reserves, on-chain settlement infrastructure, and integrated fiat access, which simplifies the process into a single service.
According to data from DefiLlama, USDC ranks as the second-largest stablecoin globally by market capitalization, boasting approximately $77 billion in circulation.
The timing of this launch aligns with a broader trend where stablecoin issuers and crypto infrastructure providers are increasingly offering white-label services. These services empower businesses to launch their own branded digital dollar products without needing to handle the complexities of blockchain infrastructure or reserve management.
In a related development, Stripe recently debuted Open Issuance, a platform enabling businesses to create and manage their stablecoins through its Bridge unit. This system permits companies to control the minting, branding, and reserve economics while leveraging shared liquidity infrastructure.
Similarly, in May, Western Union introduced its own Solana-based USDPT stablecoin, with issuance managed by Anchorage Digital, while Fireblocks provided wallet and settlement infrastructure. The new token aims to facilitate blockchain-based settlement and cross-border payment services across segments of its remittance network.
Other notable instances include Binance’s BUSD stablecoin, introduced in 2019, and PayPal USD, launched in 2023, both issued by Paxos.
Crypto infrastructure providers have also been venturing into stablecoin issuance and payment settlement. Recently, Bakkt completed its acquisition of the stablecoin infrastructure firm Distributed Technologies Research, reinforcing its goal to establish a continuous digital settlement layer driven by stablecoin and AI payment technologies.
According to DefiLlama, the total market capitalization of stablecoins has surged to approximately $323 billion, rising from around $244 billion a year ago, which reflects a growth of nearly 32%.
