William Blair analysts see upside to Solana-based Western Union (WU) stablecoin launch
Shares of Western Union (WU) rose 6.5% on Tuesday after the company announced plans to Introduce the US Dollar payment token (USDPT) in Solana, issued by Anchorage Digital Bank, along with a crypto off-ramp network called the Digital Asset Network.
The move underscores that StableCoins are an opportunity, not a threat, for remittance firms to embrace change, according to investment banker William Blair.
Bank analysts expected more details at Western Union’s investor day on November 6 but said StableCoin remittances could speed up settlements, cut pre-funding needs and boost capital efficiency, especially in inflation-prone markets.
The Digital Asset Network, which offers cash-out access to Western Union’s 380,000 agents, shows how stableCoin can be monetized by remittance firms, analysts said, though fiat on- and off-ramping remains a major hurdle.
Despite progress in digital and consumer services, the report noted sluggish growth in remittances and potential pressure from a 2026 remittance tax.
The firm said Western Union’s 10% dividend yield and low 5.3x 2026 P/E should support shares but maintained its market-perform rating on the stock, calling earnings acceleration and digital implementation next challenges for management.
Wu shares Rose 2% to $9.68 In the minutes following the market opening.
Read more: Western Union CEO views StableCoins as an opportunity, not a threat: Bloomberg
