Time To Buy SOFI Stock? Retail Traders Turn More Bullish After Stablecoin Tie-Up With Mastercard

• SoFiUSD is also expected to be supported across the Mastercard Multi-Token Network.
• The fintech firm said that SoFi Bank, N.A., is expected to settle its credit and debit transactions on the Mastercard network in SoFiUSD.
• The stock is currently down nearly 29% so far this year on concerns that the company’s valuation has been stretched.

SoFi Technologies’ stock closed nearly 2% higher on Tuesday, marking its second straight session of gains on the back of the fintech company’s partnership with Mastercard to make SoFiUSD one of the settlement options across Mastercard’s global payments network.

This would make SoFiUSD, the fintech firm’s fully reserved U.S. dollar stablecoin, the first stablecoin offered by a U.S. nationally chartered and insured deposit bank on a public, permissionless blockchain.

The stock has seen an upward momentum following CEO Anthony Noto's purchase of shares worth $1 million on Monday. The stock is currently down nearly 29% so far this year on concerns that the company’s valuation has been stretched, although investors remain upbeat about its growth prospects.

New Payment Option

Both companies are working to figure out how issuers and acquirers can settle card-based transactions with Mastercard using SoFiUSD. The companies look at this as a fast settlement option for Mastercard customers and helping in faster money movement for use cases such as cross-border remittances and business-to-business money transfers.

SoFiUSD is also expected to be supported across the Mastercard Multi-Token Network (MTN), the company’s digital asset platform that helps connect traditional money with digital assets.

The fintech firm said that SoFi Bank, N.A., is expected to settle its credit and debit transactions on the Mastercard network in SoFiUSD. SoFi noted that its Galileo is expected to be among the first to offer its payment card clients and their issuing banks the choice to settle transactions in SoFiUSD.

How Are Stocktwits Users Reacting?

Retail sentiment on SoFi improved to ‘extremely bullish’ from ‘neutral’ a week ago, with message volumes at ‘extremely high’ levels, according to data from Stocktwits.

“$SOFI would be better if this doesnt get added in the s&p this week.. the markets are complete shit with all eyes on the war, having it recover before the 500 inclusion next q would bring a much better move up imo. buying opportunities are real atm,” a bullish user on Stocktwits said.

In the last seven days, the retail message volumes on the stock jumped 43% on Stocktwits and over the past year, the ticker witnessed a 16% jump in followers on the platform.

Shares of SoFi have gained nearly 39% in the last 12 months.

For updates and corrections, email newsroom[at]stocktwits[dot]com.

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