FINDING PMF FOR STABLECOINS ON THE EDGES

STABLECOINS ON THE EDGE

The stablecoin revolution isn't happening in the US or Europe. It's happening on the edges.

This week on stableminded, Drew sat down with Eytan Messika, Co-Founder of Nilos, who shared a journey that perfectly illustrates why stablecoins matter most where traditional finance falls short.

Eytan's pivotal moment? Traveling to Argentina and witnessing firsthand how locals were using stablecoins to:

• Protect salaries from 90% inflation

• Pay for hotels in Brazil without 15% credit card fees

• Access dollars when traditional banking made it nearly impossible

That experience completely reshaped Nilos's vision—from building crypto infrastructure for web3 companies to focusing on solving real-world payment problems in emerging markets. What began as a simple fact-finding mission turned into a complete business transformation when Eytan realized that "stablecoins are useful on the edges... it's almost only useful on the edges."

Watch the full episode, now available on Youtube and Spotify:

THANK YOU TO Dfns

Season 3 of stableminded is powered by Dfns—the wallet infrastructure platform securing over $1 billion monthly, with zero hacks, and trusted by 130+ global fintechs, banks, and enterprises. From Fidelity to Coinbase, top players rely on Dfns to manage digital assets with unmatched security and seamless API integrations.

THE LIQUIDITY PROBLEM

Traditional cross-border payments are fundamentally broken. Here's why:

When a remittance company wants to offer payments to Nigeria, they need to:

• Establish banking relationships in each country

• Pre-fund accounts with local currency (like Naira)

• Maintain minimum balances with correspondent banks

• Manage FX risk from holding volatile currencies

This model makes it nearly impossible for new players to enter the market. As Eytan explains, "You cannot put banking partners in competition too much. You need to maintain a certain level of liquidity there."

The real challenge extends beyond just the logistics. These pre-funded accounts create barriers that reinforce existing monopolies in the remittance space, with giants like Western Union maintaining dominance through their extensive banking networks. For new fintech entrants, particularly from emerging markets themselves, these capital requirements make competition nearly impossible.

Nilos has reimagined this model using everyone’s favorite snack lately, the "stablecoin sandwich":

1. Convert source currency (USD/EUR) to stablecoins

2. Move stablecoins instantly across borders

3. Convert to local currency through local partners

The result? A payment system that:

• Requires zero pre-funded accounts

• Eliminates correspondent banking relationships

• Reduces costs dramatically

• Enables instant settlement

New fintech startups can now compete with established players like Western Union without needing massive capital reserves.

Eytan notes that with stablecoins, "you go from a place where your money is very static... to a place where when you can move funds instantly, you lower the entry barriers to get into the market."

THE FUTURE OF
STABLECOIN ADOPTION

Eytan outlined three phases of stablecoin adoption we're seeing in emerging markets:

1️⃣ USD Access: Solving the fundamental problem of accessing dollars in countries with capital controls
2️⃣ Infrastructure Efficiency: Enabling faster, cheaper payments through optimized liquidity
3️⃣ Yield Opportunities: Creating new financial products like what Nubank is doing with Circle

His bold prediction? "Every company will become a stablecoin-based company" because the infrastructure advantages are simply too significant to ignore. This transformation isn't just about payments—it's about fundamentally rethinking how financial institutions manage their assets and provide services to customers.

The Nubank and Circle partnership represents just the beginning.

With over 110 million users across Latin America, Nubank is demonstrating how traditional fintech can integrate stablecoins to solve real problems for customers while creating new revenue streams. This model will likely spread across emerging markets as more financial institutions recognize the advantages.

AUTOMATED OPERATIONS:
RUNNING LEAN WITH AI

One of the most fascinating aspects of our conversation was how Nilos operates like a much larger company with just 11 team members. Eytan shared that they've leveraged AI to "operate like a 40 people business" without massive headcount.

For example, Nilos has automated their entire content marketing operation by connecting Webflow, Zapier, and Claude.

This system generates SEO-optimized blog content with minimal human input, allowing a lean team to produce at scale. They've applied similar automation to their trading, reconciliation, and compliance systems.

The key takeaway? Taking time to implement these AI solutions—even when it feels like "investing in losses" in the short term—has dramatically increased their efficiency and output. For founders building in the space, this approach offers a blueprint for scaling operations without scaling headcount.

As a bonus, Eytan shared how Nilos has leveraged AI and content creation to transform their growth:

"I went from 80% of leads coming from outbound to 100% coming from inbound."

His recent Stablecoin Use Case Guide is a perfect example—comprehensive, valuable content that positions Nilos as a thought leader while generating quality leads.

The key? Making time to experiment with new tools and processes even when it feels like "investing in losses" short-term. By following his curiosity and building curation-focused content, Eytan has established Nilos as a thought leader in the space while creating a powerful lead generation engine.

Be sure to tune in to the full episode to get the entire story.

Follow Nilos on X: @NilosHQ
Follow Eytan on X: @EytanMessika
Connect with Eytan on Linkedin

STABLEMINDED RECAP

We launched Stableguide on March 16th! Stableguide is a single dashboard to navigate the rapidly expanding stablecoin landscape.

Don’t worry about commenting Stableguide to get access. Since you are a stableminded subscriber, you can check it out below:

We'll be adding 50 more companies to the guide in the coming weeks! If you're researching the stablecoin space, this comprehensive directory is an essential resource.

We are building this for YOU , so we'd love your feedback on companies and features we should include as we continue to build this - just reply to this email with your suggestions.

Coming soon: Stay tuned for our Stable Spotlights! We captured exclusive interviews with innovative founders at ETH Denver, and we'll be releasing these throughout the next few weeks on our YouTube, LinkedIn, and X accounts. These quick-hit conversations showcase the builders creating the future of stablecoin infrastructure.

For now, check out the recap video from Stable House in ETH Denver

Lastly, we have some HUGE news we are announcing Thursday!

HINT: Check out the the cover for the last few episodes of stableminded ;)

Thats all for this week!

Stay Stable,
Drew & Zach

_{DISCLAIMER: *The content of this newsletter is for information purposes only and does not constitute financial, investment or legal advice. Always consult with a qualified financial advisor before making any decisions based on the information discussed in this newsletter. This content reflects the authors' personal views and has not undergone detailed verification by a research team. While we aim for accuracy, these are thoughtful opinions open to reevaluation.}