Walmart and Amazon might issue their own cryptocurrency

Walmart and Amazon, the world’s two largest retailers, are exploring issuing their own stablecoins for US customers to use at checkout instead of credit or debit cards, according to a new Wall Street Journal report.

Other big companies, including Expedia and some airlines, are also considering the move, per the WSJ.

It’s a cost-cutting thing: Stablecoins—which are tied to assets, such as the US dollar—allow for quick payment processing and, if adopted by customers, could potentially save corporations billions of dollars in swipe fees they pay every year to credit card companies, banks, and fintech startups like Square. Businesses shelled out $172+ billion in US transaction fees in 2023, a ~50% increase from before the pandemic, as more customers went contactless.

Scared money

Should these checkout rumors come to fruition, financial institutions could take a big hit. Visa, Mastercard, AmEx, Capital One, Block, and PayPal’s stocks were anything but stable following the WSJ report; each fell between 2% and 6% on Friday.

Retailers could start making announcements soon. Congress is set to vote on a bill that would give private companies a blueprint for issuing their own stablecoins as soon as today (called the Stable GENIUS Act GENIUS Act).