[Narrator]

Hello everyone, welcome back to the TokenMinds Training series.
Today we’ll compare stablecoin rails for financial institutions and explain how choosing the right settlement setup from day one shapes long-term results.

This session focuses on clear decision-making.
We’ll compare stablecoin rails side by side across privacy, settlement strength, and governance.
We’ll also look at custody providers, wallet systems, and compliance APIs.
Most importantly, we’ll explain why picking the wrong rail creates long-term cost and complexity.

A stablecoin rail is the network where money moves.
It affects speed, privacy, liquidity access, and risk.
Infrastructure providers are the tools that help institutions use that rail.
They include custody platforms, wallets, and compliance systems.
The rail decides where money settles. Infrastructure decides how you control and manage it.

Public blockchains like Ethereum and Solana are open networks.
They offer global liquidity, fast settlement, and low fees.
Stablecoins such as USDC and USDT move freely across borders.
This model works well for fintech firms and global payment companies.
However, transactions are public, privacy is limited, and network congestion can affect performance.

Permissioned private chains are controlled by a bank.
Only approved institutions can participate.
Stablecoins represent deposits held at the issuing bank.
An example is JPM Coin.
This model provides strong control and legal clarity.
But liquidity stays within one banking group, and flexibility is limited.

Custody API rails are service-based models.
Institutions connect through APIs, while the provider manages the blockchain layer.
Examples include Paxos and Circle.
This approach allows quick launch and reduces technical workload.
However, institutions depend on the provider and have less direct control.

Institutional privacy chains are built for large financial institutions.
Each participant runs its own node.
Transaction data is shared only with approved counterparties.
An example is USDCx on Canton Network.
This model provides strong privacy and synchronized settlement.
But setup is more complex and the ecosystem is smaller.

All four rails settle in seconds, but they differ in structure.
Public chains offer global access but little privacy.
Private bank rails provide control but limited reach.
Custody API rails simplify access but rely on service providers.
Institutional privacy rails focus on capital markets use cases with stronger privacy and coordinated settlement.

Fireblocks – 2,400+ institutional clients across 100+ countries. Over $10 trillion in digital asset transfers processed. One of the largest stablecoin transaction processors globally.

Zero Hash – API-based trading and settlement infrastructure powering embedded crypto for fintech platforms. Focused on fast product launch rather than public custody AUM metrics.

Dfns – Developer-first MPC wallet infrastructure supporting over $1 billion in monthly transaction volume for payment and Web3 platforms.

BVNK – Stablecoin payments and treasury provider with approximately $10+ billion in annualized stablecoin processing volume.

BitGo – Regulated qualified custodian securing over $100 billion in digital assets, widely used by funds and institutions.

Anchorage Digital – U.S. federally chartered digital asset bank providing regulated custody and prime services for institutional clients.

When choosing infrastructure, the key differences are custody model, regulatory position, and target client profile

Choosing the right rail starts with understanding your business model, transaction volume, counterparty structure, privacy needs, and regulatory exposure.
Next, match the rail to your long-term goals, whether public, private, custody API, or institutional privacy.
Finally, implement it correctly from day one.
Fixing the wrong rail later is expensive and disruptive.
TokenMinds helps institutions evaluate, select, and implement the right stablecoin rail with clarity and confidence.

Thank you for watching and see you in the next training video.