The news: OnePay and Tempo partnered to bring stablecoin-backed payouts and instant account funding to OnePay users, per a press release.

How we got here: Walmart’s OnePay has numerous incentives to pursue crypto solutions. As a major retailer servicing approximately 280 million customers weekly, per its internal data, Walmart has the scale to shift consumer behaviors to on-chain solutions, given only 2.5% of the US population currently uses crypto, per our forecast. With more OnePay users on-chain, Walmart would benefit from lowering or eliminating interchange fees. 

Why this matters: As a provider targeting middle- to lower-income consumers who are more likely to be part of the gig economy, OnePay can use faster payouts to earn those workers’ loyalty. Rivals like Stripe, PayPal, Visa Direct, and Worldpay have spearheaded crypto-backed instant payouts for gig workers, flexing a real-world use case for consumers. 

Looking forward: OnePay’s crypto solutions suggest that the platform may enable on-chain remittances, consolidating users’ financial needs in one place.

This could threaten incumbent providers like MoneyGram and Western Union that use Walmart locations for in-person remittances.

Implications for payment providers: Payment providers have found a valid use case for stablecoin payouts, but they need to ensure that the consumer experience is on par with or better than existing solutions. Early hang-ups could scare away consumers reliant on seamless money transfers, limiting adoption.

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