MoonPay, a company focused on cryptocurrency payments, is broadening its footprint in the enterprise stablecoin sector by acquiring Iron, a developer specializing in API-centric stablecoin infrastructure, for an undisclosed sum.
In a March 13 announcement, it was revealed that the acquisition will enable MoonPay’s business clients to accept stablecoin payments quickly and affordably. The integration of Iron’s technology will also allow companies to manage their stablecoin reserves in real time and utilize those funds to invest in yield-generating assets such as US Treasury bonds.
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“By leveraging Iron’s technology, we’re equipping enterprises, fintechs, and global merchants with the capability for immediate, programmable payments,” stated the CEO of MoonPay, Ivan Soto-Wright.
The acquisition of Iron is MoonPay’s second noteworthy purchase this year, following its January acquisition of Helio, a blockchain payment processor based on Solana, for $175 million. Helio’s existing partnerships with platforms like Shopify and Discord are set to enhance MoonPay’s entry into crypto on-ramps and payment services.
MoonPay isn’t the only player making strides in the realm of stablecoin payments. Recently, it was reported that Mansa, a fintech backed by Tether, secured $10 million to expand its infrastructure for cross-border stablecoin payments.
Related: The potential impact of US stablecoin dominance on Bitcoin
Business Collaborations Boosting Stablecoin Usage
With over $230 billion in circulation, stablecoins have emerged as one of the most promising applications of blockchain technology. The industry’s growth can be significantly attributed to major fintech payment providers embracing stablecoin integrations, according to the CEO of Polygon Labs, Marc Boiron.
In a recent interview, Boiron noted, “The integration of stablecoins by companies like Stripe and PayPal is likely the key driver for their expansion.”
The stablecoin market has experienced significant growth since 2020, navigating regulatory scrutiny and gaining industry acceptance. Source:
Boiron identified one of the most exciting developments in the space as yield-bearing stablecoins, which enable holders to earn returns through decentralized finance via traditional collateralization methods.
Yield-bearing alternatives are poised for significant advancement following the US Securities and Exchange Commission’s approval of the first yield-bearing stablecoin security in February. This approval aligns with regulatory movements aimed at clarifying stablecoin legislation within the United States.
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