The blockchain landscape continues to evolve at a breakneck pace, and one of the most promising frontiers emerging in 2025 is Payment Finance, or PayFi. A groundbreaking new report from Messari, a leading blockchain research and analytics firm, dives deep into this transformative sector, positioning PayFi as a pivotal driver of real-world utility in Web3. By merging decentralized finance (DeFi) with real-world assets (RWAs) and reimagining global payment systems, PayFi is poised to disrupt trillion-dollar industries—from credit card transactions to trade finance and cross-border remittances.
This first-of-its-kind PayFi Ecosystem Report identifies the key players, infrastructure, and innovations shaping the future of digital payments. As legacy financial systems struggle with inefficiencies like high fees, slow settlements, and limited access, PayFi offers a compelling alternative: fast, transparent, and globally inclusive financial services powered by blockchain.
The $100+ Trillion Opportunity Behind PayFi
At the heart of PayFi’s potential lies its ability to modernize massive, outdated financial markets. The global credit card transaction volume reached $16 trillion in 2023**, while the trade finance market sits at a staggering **$89 trillion. Meanwhile, $4 trillion in remittances flow across borders annually, with one in nine people worldwide depending on these funds—often facing high fees and multi-day delays.
👉 Discover how blockchain is redefining global finance and unlocking trillions in untapped value.
PayFi addresses these inefficiencies head-on by leveraging blockchain technology to enable near-instant settlements, lower transaction costs, and broader financial inclusion. Unlike traditional models that rely on intermediaries, PayFi platforms operate on open, decentralized networks where liquidity is programmable, transparent, and accessible to anyone with an internet connection.
Solana: Powering High-Speed, Low-Cost Payments
Among the blockchains leading the PayFi revolution, Solana stands out for its unmatched performance. Capable of processing up to 65,000 transactions per second with fees often less than a fraction of a cent, Solana provides the ideal infrastructure for scalable payment solutions.
Central to its ecosystem is Solana Pay, a protocol that allows merchants to accept stablecoins like USDC directly from customers’ wallets—bypassing credit card networks and their associated fees. This not only reduces costs but also enables real-time settlement, a game-changer for global commerce.
Key PayFi projects building on Solana include:
- Rain: Offers digital asset-backed credit cards tailored for Web3 teams, enabling seamless international spending powered by Solana’s speed and efficiency.
- Helio: Integrates Solana Pay to allow merchants and developers to accept on-chain payments, accelerating e-commerce adoption in decentralized marketplaces.
- Sanctum: Provides liquid staking tools and community-driven tokens, helping users monetize their holdings while supporting network security.
With a thriving DeFi ecosystem and growing institutional interest, Solana is becoming the go-to platform for developers building next-generation financial applications.
Huma Finance: Building the Decentralized PayFi Backbone
Another major force in the PayFi space is Huma Finance, a decentralized payment financing protocol that connects businesses with on-chain liquidity pools. After launching its PayFi Network on Solana in late 2024 and expanding to Stellar’s Soroban smart contract platform, Huma is enabling real-world use cases like cross-border payments and asset-backed lending.
Huma powers innovative applications such as:
- Arf: Delivers on-chain liquidity for cross-border transactions.
- Rain: Issues credit cards backed by digital assets.
- Roam: Utilizes Huma’s infrastructure for DePIN (Decentralized Physical Infrastructure Networks) financing.
“PayFi is answering a critical call to modernize global finance,” said Erbil Karaman, Co-founder of Huma. “Every PayFi solution is more efficient, more accessible, and more scalable than its traditional alternatives by design.”
A key contribution from Huma is the PayFi Stack—a modular, open-source framework consisting of six layers: transaction, currency, custody, compliance, financing, and application. This layered architecture fosters interoperability and accelerates innovation across the ecosystem.
👉 See how decentralized financing models are transforming business lending and global payments.
Stellar: The Pioneer of Blockchain-Based Payments
While newer blockchains gain attention, Stellar remains a foundational player in the PayFi ecosystem. Since its launch in 2014, Stellar has focused exclusively on fast, low-cost cross-border payments. With average transaction speeds of five seconds and costs as low as $0.00005, it’s uniquely suited for high-volume use cases.
The Stellar Disbursement Platform (SDP)—an open-source tool—enables bulk payouts for payroll, humanitarian aid, and social programs. Combined with Soroban, Stellar’s smart contract layer, the network now supports advanced DeFi and PayFi applications.
Notable projects leveraging Stellar include:
- Felix x Bitso: Revolutionizing remittances in Latin America by cutting transaction fees by up to 80%, making cross-border transfers more accessible for underserved populations.
- Airtm: Offers digital dollar accounts and stablecoin payouts to over 2 million users in emerging markets, providing financial stability amid local currency volatility.
“Stellar was built for payments,” said Tomer Weller, Chief Product Officer of Stellar Development Foundation. “Being a leader in the growing PayFi ecosystem is a natural fit for the network.”
Why Decentralized PayFi Outperforms Legacy Models
While Ripple has long been recognized for its efficiency in cross-border transactions, it operates within a closed network relying on its proprietary stablecoin. This limits flexibility and integration with broader DeFi ecosystems.
In contrast, decentralized PayFi solutions run on open networks where stablecoins like USDC dominate. These assets have seen a 56% growth in market cap and a 117% increase in transfer volume year-to-date—evidence of their growing adoption and versatility.
By prioritizing transparency, scalability, and RWA integration, decentralized PayFi platforms are setting new benchmarks in financial infrastructure. They’re not just improving existing systems—they’re redefining them.
Frequently Asked Questions (FAQ)
Q: What is PayFi?
A: PayFi, or Payment Finance, combines blockchain technology with real-world financial services to enable faster, cheaper, and more inclusive payments and financing solutions.
Q: How does PayFi differ from traditional fintech?
A: Unlike traditional fintech that relies on centralized intermediaries, PayFi uses decentralized networks and smart contracts to reduce costs, eliminate gatekeepers, and enable global access.
Q: Which blockchains are leading in PayFi?
A: Solana and Stellar are currently at the forefront due to their high throughput, low fees, and strong developer ecosystems focused on real-world payments.
Q: Are stablecoins important to PayFi?
A: Absolutely. Stablecoins like USDC serve as the primary medium of exchange in PayFi systems, offering price stability while enabling instant settlement across borders.
Q: Can individuals benefit from PayFi?
A: Yes. From lower remittance fees to access to credit using digital assets as collateral, PayFi opens new financial opportunities for both individuals and businesses.
Q: Is PayFi secure?
A: Built on public blockchains with cryptographic security and transparent ledgers, PayFi systems are highly secure—though users should always practice good wallet hygiene.
The Road Ahead for PayFi
As highlighted in Messari’s report, collaboration and innovation are driving the PayFi ecosystem forward. From Solana’s high-performance infrastructure to Huma’s modular finance stack and Stellar’s proven payment rails, the pieces are in place for widespread adoption.
With trillions in transaction volume at stake and growing demand for efficient financial tools, PayFi isn’t just a crypto trend—it’s the blueprint for the future of global finance.
👉 Explore how you can get involved in the next wave of financial innovation powered by blockchain.
The era of decentralized payment finance is here. And 2025 may just be its breakout year.