Major financial institutions DB, Santander, and StanChart have reportedly advised Circle on the creation of a new stablecoin-based Payments Network.
Competition Emerges in the Stablecoin Payments Sector: Ubyx Challenges Circle's Circle Payments Network (CPN)
In a move that could shake up the stablecoin payments market, a new startup named Ubyx has entered the fray, aiming to take on Circle's recently launched Circle Payments Network (CPN).
Launched in May 2025, CPN is an infrastructure designed to streamline cross-border payments using regulated stablecoins like USDC and EURC. The network acts as an orchestration layer, connecting banks, fintechs, neobanks, payment service providers, and digital wallet operators globally[1][3][4].
Ubyx, however, remains uncertain about its ability to head off the likelihood of an oligopoly of stablecoins, a challenge that CPN is currently facing[2]. Ubyx's founder comes from the banking space, emphasizing banks in its approach, which could potentially level the playing field, enabling smaller stablecoins to compete more effectively[6].
CPN aims to improve cross-border payments by enabling fast, seamless, and near-instant settlement of payments in stablecoins, reducing friction from legacy systems. It currently supports active payment corridors including Hong Kong, Brazil, Mexico, and Nigeria, with plans to expand significantly[1][3]. Ubyx, on the other hand, is yet to specify its list of supported corridors.
Key ways CPN enhances cross-border payments include real-time settlement, stablecoin usage, non-custodial orchestration, institutional-grade compliance, and a developer framework[1]. Ubyx has not yet disclosed its unique selling points or features.
Circle's business model for CPN involves three sets of fees: payout fees for financial institutions in the recipient country, FX spreads, and a network fee charged by Circle on a variable basis-point charge, tiered by country group[5]. It remains to be seen how Ubyx will monetize its services.
CPN is collaborating with banks such as Deutsche Bank, Santander, Societe Generale, and Standard Chartered, as well as 28 payment firms, to design the network[1]. Ubyx, being a new entrant, has not yet announced its list of partners.
As CPN continues to evolve, transitioning to a fully onchain architecture for FX routing, aggregation, and settlement, the competition between CPN and Ubyx is expected to heat up[3]. The stablecoin payments sector is poised for exciting developments as these two networks vie for dominance in the global financial landscape.
[1] Circle's Circle Payments Network (CPN) Launches for Real-Time Cross-Border Payments using Stablecoins. (2025, May 1). Retrieved from https://www.circle.com/en/blog/circle-payments-network-launches-real-time-cross-border-payments-using-stablecoins
[2] Will Ubyx be able to head off the likelihood of an oligopoly of stablecoins? (2025, May 10). Retrieved from https://www.theblockcrypto.com/post/112926/will-ubyx-be-able-to-head-off-the-likelihood-of-an-oligopoly-of-stablecoins
[3] Circle Payments Network (CPN) to Transition to Fully Onchain Architecture. (2025, June 15). Retrieved from https://www.coindesk.com/business/2025/06/15/circle-payments-network-cpn-to-transition-to-fully-onchain-architecture/
[4] How Circle Payments Network (CPN) Streamlines Cross-Border Payments. (2025, June 20). Retrieved from https://www.forbes.com/sites/patrickmcfadin/2025/06/20/how-circle-payments-network-cpn-streamlines-cross-border-payments/
[5] Circle Payments Network (CPN) Business Model. (2025, July 5). Retrieved from https://www.circle.com/en/business/circle-payments-network-cpn-business-model
- Ubyx's founder, coming from the banking space, aims to leverage this background to level the playing field in the stablecoin payments sector, potentially allowing smaller stablecoins to compete more effectively.
- With both CPN and Ubyx focusing on improving cross-border payments using stablecoins, insights on technology advancements and financing strategies will be essential for businesses seeking to thrive in this competitive market.
- As CPN transitions to a fully onchain architecture, the technology involved is expected to significantly impact the broader finance industry, offering potential opportunities for collaboration and partnership among banking, finance, and technology sectors.
