- Uber is looking at crypto payments once again, focusing on stablecoins
- CEO Dara Khosrowshahi highlighted stablecoins’ potential to reduce international transaction costs
- This marks the third time since 2021 that Uber has considered integrating crypto payments
Uber is taking another look at crypto payments after two aborted attempts in recent years. The company will focus on accepting stablecoins, with CEO Dara Khosrowshahi emphasizing their potential to streamline international transactions and reduce associated costs. This renewed interest represents the company’s third foray into crypto considerations since 2021, although with the likes of MasterCard and Visa now working on mainstream stablecoin adoption, today represents the best chance of such a deal.
Uber in the “Study Phase” Over Crypto
Khosrowshahi announced the development at the Bloomberg Tech Summit in San Francisco this week, stating that the company is in the “study phase” of assessing stablecoins for operational use. Khosrowshahi remarked, “I think stablecoins are one of the more interesting instantiations of crypto that have a practical benefit beyond being a store of value.” The CEO also noted that stablecoins could offer significant advantages by reducing the costs of moving money internationally, something that is being picked up by e-commerce platforms as well as major banks.
The potential move into crypto is the third time the company has given consideration to accepting digital currencies in recent years. In September 2021 and February 2022, Khosrowshahi expressed interest in accepting cryptocurrencies like Bitcoin as payment methods, but was seemingly concerned about the issue of converting it to more stable forms of currency upon receipt, noting, “We are going to keep our cash safe.”
Stablecoins Only
Stablecoins carry a clear advantage for companies, with Khosrowshahi noting that their potential is “quite promising, especially for global companies that are moving money around globally, to create a mechanism for us to reduce costs.”
The broader financial industry is also recognizing the potential of stablecoins; according to a survey by Fireblocks, approximately 90% of institutional players are exploring stablecoin integration.
While Uber’s renewed interest in cryptocurrency payments is notable, the company has yet to provide a concrete timeline for implementation, and it might be the end of the year before we hear anything concrete.
