Amazon and Walmart (WMT) May Launch Their Own Stablecoins
Amazon (AMZN), Walmart (WMT), and Ant Group (BABA) are looking into launching their own stablecoins, which are digital currencies tied to traditional currencies like the U.S. dollar. According to The Wall Street Journal, retail giants Amazon and Walmart have been holding internal discussions about creating their own coins. Indeed, Amazon has been exploring blockchain since at least 2021, while Walmart first filed a patent in 2019 to develop a dollar-pegged coin aimed at unbanked customers. Ant Group, the fintech arm of Alibaba, appears to be further ahead, with Reuters reporting that its Singapore-based subsidiary is preparing to apply for stablecoin licenses in Hong Kong, Singapore, and Luxembourg.
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The motivation behind this push is largely financial. In fact, credit card transactions typically cost merchants 2–3% in fees. For companies like Amazon, which did over $447 billion in e-commerce revenue in 2024, that could amount to $9–$13 billion annually. Using a proprietary stablecoin instead could significantly reduce those fees. Stablecoins also simplify international payments by eliminating costly wire transfers and currency conversions.
Additionally, companies that issue stablecoins typically hold reserve assets, such as government bonds, which can generate hundreds of millions of dollars in annual interest. Interestingly, industry experts told crypto.news that companies like Amazon, Walmart, and Ant Group are likely further along than the public realizes, as they already control digital wallets and ecosystems large enough to support their own currencies. Still, challenges like refund systems, fraud controls, and regulatory compliance remain. Experts also noted that widespread adoption will depend on making stablecoins easy and intuitive to use.
Which Stock Is the Better Buy?
Turning to Wall Street, out of the stocks mentioned above, analysts think that BABA stock has the most room to run. In fact, BABA's average price target of $166 per share implies more than 44% upside potential. On the other hand, analysts expect the least from of $241.64 equates to a gain of 12.3%.
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