- Stablecoins: crypto tied to real money like the dollar
- Staking: users can earn rewards by locking up their crypto
- Fiat money: government-issued currency like the U.S. dollar or euro
- Collateral: something valuable (an asset) used to secure a loan
Online banking company SoFi Technologies is getting back into the crypto world after leaving it in late 2023 because of government rules. Now, it’s bringing back crypto trading and adding a way to send money internationally using blockchain.
The American company said on Wednesday that it will let users buy, sell, and keep crypto in their accounts again. It also wants to offer stablecoins, and allow people to borrow money using their crypto as collateral.
SoFi also plans to add more ways to pay, as well as features like staking.
“I am very excited about the innovation the firm can drive using blockchain and crypto across its businesses. SoFi’s planned new international payments will convert fiat to crypto, transmit via blockchain, and convert to local fiat.” SoFi CEO Anthony Noto
SoFi is bringing back its crypto services at a time when the fintech and blockchain industry is expected to grow from $3.4 billion in 2024 to $49 billion by 2030, according to Insider.
The company also said that its Galileo finance platform will support outside crypto tools like digital wallets and crypto storage. This will help SoFi stay competitive as digital finance keeps growing.
A Comeback Journey
SoFi had left the crypto business in 2023 because it wanted to get a banking license, which required following tougher rules.
But now, with U.S. President Donald Trump in office, some rules have become less strict. Congress is talking about new laws for stablecoins, and the Federal Reserve no longer thinks crypto is a big risk to a bank’s reputation. This change makes it easier for crypto companies to work with banks.
SoFi’s stock (SOFI) has gone up about 12% in the past week, according to Google Finance.