SoFi Technologies (NASDAQ: SOFI) has officially introduced Polygon (CRYPTO: POL) as the latest network for SoFiUSD, its dollar-backed stablecoin. A stablecoin is a cryptocurrency designed to maintain a stable value equal to one U.S. dollar. On November 12, 2026, Polygon announced that over 17 million SoFi members can buy, sell, hold, and convert SoFiUSD on Polygon within the SoFi app, while businesses can use it for payments through Polygon’s Open Money Stack.
SoFi’s shares were trading at $15.95 at 9:58 a.m. ET on November 12, a 2% decline for the day and a 39.1% drop in 2026. Polygon made the announcement, and SoFi hadn’t released a matching press statement by the time of publication, so the details below come from SoFi’s earlier SoFiUSD materials.
If a SoFi savings account already offers interest and is protected by FDIC insurance, what does SoFiUSD offer that the account can’t?
SoFiUSD Pays No Interest and Carries No FDIC Insurance
SoFiUSD isn’t entirely new, since it has been available on Ethereum (CRYPTO: ETH) and Solana (CRYPTO: SOL) since May 27, and Polygon is its third network. Each SoFiUSD coin is redeemable 1:1 for U.S. dollars from SoFi Bank, which says it “maintains liquid assets to support all outstanding SoFiUSD.”
However, SoFiUSD doesn’t earn interest. SoFi’s X account said “SOFIE tokenized deposits and deposits held in a savings account are eligible to earn interest, and FDIC protection,” but SoFiUSD isn’t included. The SOFIE token, launched in October, represents a SoFi Bank deposit and converts one-for-one into SoFiUSD. Without FDIC insurance, SoFiUSD doesn’t carry the same protections as bank deposits.
SoFi commits to regular attestations by an independent U.S.-licensed CPA, meaning an accountant checks that reserves match the coins outstanding on a given date. That’s less thorough than a full audit, and SoFi hasn’t named the accounting firm.
On fees, SoFi says it sets network fees “at our discretion” and shows them before a transfer, but its materials list no flat fee for buying, selling, or sending SoFiUSD, which makes it hard to compare with what brokers charge to trade crypto. Members can transfer the coin to external wallets, but only to those supported by SoFi’s app.
SoFiUSD Also Helps SoFi’s Bank
SoFi Bank’s charter allows it to take deposits, which reached $51.3 billion in the third quarter. SoFi also reported $571 million in fee-based revenue, 42% of total revenue, with interchange fees from merchants jumping 77% year over year. Additionally, SoFi has used SoFiUSD to settle its Mastercard program since September 22.
Deposits are a cost-effective funding source for SoFi. Using deposits instead of credit lines from other lenders saved SoFi about $745 million a year.
Where SoFiUSD Beats a Bank Account, and Where It Loses
SoFiUSD offers several features that checking or savings accounts don’t.
- Any-time transfers. Blockchains operate continuously, so SoFi’s business clients can move funds at any hour, even on weekends.
- Cross-border transactions. Users can send SoFiUSD to supported wallets overseas without a bank wire.
- Access to crypto apps. SoFi Crypto prices trades in SOFID, the ticker for SoFiUSD, and Polygon support could reach apps built on that network.
However, bank accounts still hold several advantages.
- Insurance. FDIC insurance protects deposits, but SoFiUSD is not insured.
- Interest. Savings accounts and SOFIE tokens earn interest, whereas SoFiUSD doesn’t.
- Fraud protections. Federal rules give dispute rights on debit card and electronic bank transfers, but a blockchain transfer sent to the wrong address usually can’t be reversed.
Anthony Noto, SoFi’s CEO at the time of the May release, said, “People no longer have to choose between blockchain technology and regulated banking products.” Even so, members still face a choice on insurance and interest. Polygon’s announcement also didn’t name any businesses building payment flows or give volume targets for SoFiUSD, so the launch says little about demand for POL.
Other banks are exploring similar paths, as when a U.S. bank added Ripple’s stablecoin to its core system. Here’s how SoFiUSD compares with USD Coin (CRYPTO: USDC) from Circle Internet Group (NYSE: CRCL) and PayPal USD (CRYPTO: PYUSD) from PayPal (NASDAQ: PYPL).
Feature SoFiUSD USDC PYUSD Issuer SoFi Bank, a federally chartered bank Circle Paxos, for PayPal Yield to holder None (SOFIE pays interest) No yield from Circle; some platforms offer rewards Variable rewards on balances kept in PayPal Backing Liquid assets at SoFi Bank, 1:1 redeemable, CPA attestations Cash and short-term U.S. Treasuries, regular attestations Dollar deposits, short-term Treasuries and cash equivalents FDIC insurance No No No Fees Network fee shown before transfer; no flat schedule published Set by the app or exchange Set by PayPal by transaction type So What Can SoFiUSD Do That a Bank Account Can’t?SoFiUSD lets members move dollars at any hour to supported wallets, Polygon apps, and SoFi crypto trades. They give up interest and FDIC insurance the moment they convert, so SoFiUSD works best as a short stop between the account and a transfer. SoFi gains more from the launch than POL does, since SOFIE keeps members’ money inside the bank as cheap deposit funding.
Taxes could get simpler, too, if Congress passes the Senate bill on tax-free small stablecoin purchases. The next test is SoFi’s fourth-quarter earnings report. If SoFi names a business running payments over SoFiUSD on Polygon, or breaks out SoFiUSD balances by network, Polygon could become a working payments channel for the coin. If the report skips Polygon, the launch is one more network option in the app.