The Solana Foundation President has shared views on stablecoin in capital markets, pointing to new market structures, Circle’s business shift, and the roles of Ripple and Tether.
Her comments follow wider debate on yield, regulation, and how digital currencies will fit into the global system.
Stablecoin Market Structure and Yield Debate
The stablecoin market is moving into a new phase. Patrick Collison, co-founder of Stripe, said that stablecoin issuers may have to start sharing yield with users.
He added that the same might happen in the wider banking system.
He pointed out that U.S. banks hold about $4 trillion in deposits that earn no interest. The average savings account pays 0.40% according to FDIC data.
In Europe, non‑corporate deposits earn around 0.25%, while corporate deposits pay 0.51%. Collison believes depositors will expect and should receive returns closer to market levels.
He also said some lobby groups are working to limit rewards on stablecoin deposits.
Collison described the motive as keeping deposits cheap for banks, but warned that the move could be seen as unfriendly to consumers.
Solana Foundation president Lily Liu agreed with this view. She said banks currently take most of the yield from deposits and loans under the fractional reserve model.
She added that decentralized finance offers another option by letting users take part in lending and borrowing directly.
In her words, this makes yield available across a wider range of assets and risk levels, opening access for internet users of different sizes.
Circle Expands Role in the Stablecoin Market
Circle has announced changes to its business model. Once known mainly as a stablecoin issuer, it now describes itself as a full‑stack platform company.
The firm said its new focus will be on building both an application layer, called CPN, and a network operating system layer, called Arc.
According to Circle, these layers are designed to give large institutions the type of infrastructure they can rely on.
The company said the move requires heavy investment but will help meet the needs of global financial players.
This shift shows how stablecoin firms are preparing for bigger roles in capital markets.
By moving from a network operator to a broader platform provider, Circle is aiming to position itself for long‑term growth and deeper ties with institutions.
Ripple, Tether, and the Role of SHX
Alongside Circle, other projects are shaping their place in the stablecoin sector.
Ripple has continued to promote its On‑Demand Liquidity service, which uses XRP as a bridge for cross‑border transactions.
Attention has also turned to SHX, a regulated stablecoin issued by Stronghold and built on the Stellar network.
Black Swan Capitalist noted that Ripple invested in SHX, calling it a key part of the liquidity system.
Unlike some other stablecoins, SHX is fully backed by U.S. dollars kept in regulated accounts.
Because of this, banks and payment processors can move large sums without facing the risks tied to unregulated or partially backed tokens.
Transactions settle in seconds and at low cost, making SHX useful for compliance and efficiency.
Analysts have described SHX and XRP as working together. While XRP moves value across borders, SHX provides the stable rails for settlement.
This reduces volatility for institutions and creates a bridge between fiat money, stablecoins, and digital assets.
Tether also continues to play a major role due to its size and reach. Its presence keeps it central to liquidity in the sector.
Yet some observers believe SHX could become an important bridge stablecoin, linking traditional finance with digital networks.
Again, the Solana Foundation President’s comments fit into these broader discussions.
Notably, as stablecoin markets grow, issuers, banks, and platforms may need to share more value with users while proving they can offer both stability and trust.