Gold prices edge higher, but set for weekly losses
Investing.com -- Shares of Visa Inc (NYSE:V) and Mastercard Inc (NYSE:MA) fell about 5% on Friday after the Wall Street Journal reported that retail giants Walmart (NYSE:WMT) and Amazon.com (NASDAQ:AMZN) are thinking about issuing their own stablecoins, a move that could bypass traditional payment networks.
The report said the two companies, along with others such as Expedia (NASDAQ:EXPE) Group and major airlines, have discussed launching stablecoins in the U.S., citing people familiar with the matter.
Such a move could shift billions of dollars in payment volume away from banks and card networks, the Journal said, potentially allowing large merchants to reduce transaction fees and tighten control over payment infrastructure.
Stablecoins are digital tokens designed to maintain a fixed value against government-issued currencies such as the U.S. dollar, and are typically backed by cash or short-term Treasurys.
The retailers’ final decisions would hinge on progress of the Genius Act, a bill that aims to establish regulatory oversight for stablecoins.
The legislation recently advanced past a procedural vote but still requires passage by both chambers of Congress.