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Community Banks Lag in Stablecoin Adoption Compared to National Banks
As regulatory clarity and rumored stablecoin initiatives by national banks gain momentum, large parts of America’s financial sector appear to be preparing for stablecoin integration.
However, community banks and credit unions may fall significantly behind these institutions, according to recent analysis.
Beam and Braid Partnership Targets the Gaps
To bridge this digital divide, Beam and technology provider Braid are forming an exclusive partnership to deliver stablecoin infrastructure specifically tailored for community banks and credit unions, according to information exclusively gathered by Lightspeed.
A source at Beam told Lightspeed that financial institutions will pay licensing and transaction fees for access to these capabilities.
Beam CEO Dan Mottice confirmed the program will initially involve seven partner banks across the American northeast and midwest. Braid provides modernization APIs allowing banks to offer services like real-time payments. Beam supplies the stablecoin-specific technological foundation.
Business Model and Strategy
In exchange for the new capabilities, partner banks will incur a licensing fee plus transaction charges on stablecoin flows.
Mottice, previously Visa’s crypto product lead, founded Beam in 2022. Initially targeting markets outside the US due to prior SEC regulations, the company pivoted recently after the crypto-focused Trump administration took office.
Banks with under $500 million in assets will get access to a Braid innovation sandbox unlocking faster payouts, cross-border transactions and modern wallets. Larger banks can utilize Beam and Braid for direct integration and enterprise-scale stablecoin products.
The company now aims to help community banks become early adopters of stablecoin technology. Mottice explained, “We thought ahead to new opportunities in the US, and community banks emerged as a key segment. Many feel they missed the fintech wave, especially as they face generational shifts with aging depositor bases and competition from digital-first younger customers.”
Technical Implementation
The stablecoin infrastructure will primarily operate on the Solana blockchain, though Mottice emphasized this choice represents more of a “backend network selection” tailored to Beam’s specific functions rather than a feature banks need to sell to their customers.
Banks primarily prioritize speed and low-cost transactions over detailed blockchain knowledge.
