Published date: December 25, 2025 22:26
Solstice and Cor Prime have successfully executed the first-ever institutional stablecoin-to-stablecoin repurchase agreement (repo) on a public blockchain, marking a huge leap forward for decentralized wholesale banking.
Redefining 24/7 liquidity management
In traditional finance, the repo market is a multitrillion-dollar “engine room” where banks lend and borrow cash against securities. This new trade is settled via Membrane’s post-trade infrastructure, allowing financial institutions to use one stablecoin (e.g. USDC) as collateral to instantly borrow another stablecoin (e.g. USDT). By moving this process to a public blockchain, the parties eliminated the need for traditional clearinghouses and multi-day settlement cycles, achieving near-instant finality.
This event is particularly interesting because it utilizes a “public” blockchain for what was previously a closed private banking function. This shows that the world’s largest financial players are no longer just “testing” blockchain. They are actively transitioning their core liquidity functions to avoid friction in the statutory banking system.
Analysts suggest that this development will set the industry up for an “all-on-chain” move in 2026, with stablecoins serving not only as trading pairs but also as the primary fast-settlement layer across global derivatives and repo markets. This transition is expected to free up billions of dollars of previously locked-up capital and further strengthen the role of digital assets in institutions’ financial management.
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