FinTech Bakkt turned to Thredd to launch a card-as-a-service program in the United States designed to settle in stablecoins, according to a Tuesday (Oct. 13) press release.

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The partnership will see Thredd’s card processing and credit infrastructure extend Bakkt’s settlement rails into consumer credit products issued by partner banks through its planned credit card-as-a-service program, the release said. Thredd will also offer tokenization, digital wallet integration, fraud and risk management, and loyalty services designed for the program.

“Launching a credit card that would settle in stablecoins requires tight integration across processing, lending and digital asset infrastructure,” Thredd CEO Jim McCarthy said in the release. “By combining modern card processing with flexible credit capabilities, our platform removes operational complexity so Bakkt can offer its clients a direct, reliable payment product.”

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Bakkt chose Thredd because of its technology stack, which removes the need to establish and maintain “complex, separate connections between end-consumer credit and payment components,” according to the release. The companies are designing the program around Bakkt’s requirements instead of shunting the card programs into a “rigid, traditional” processing model.

“We run regulated rails that move value for institutions, and we move it across borders on demand,” Bakkt Chief Product Officer Ankit Khemka said in the release.

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