Image Courtesy: Lightspark

Fintech company SoFi Technologies has announced a partnership with Lightspark to bring blockchain-driven international money transfer services directly into the SoFi app, with launch planned for later this year.

The new service will use the Bitcoin Lightning Network through Lightspark’s Universal Money Address (UMA) technology. By embedding this feature in-app, SoFi eliminates the need for third-party services, enabling users to send money globally in a faster, more cost-effective, and transparent way.

How it works:

• Transfers begin with U.S. dollars, which are instantly converted into Bitcoin.

• The funds are then transmitted via the Bitcoin Lightning Network.

• At the destination, the Bitcoin is converted into local currency and deposited into the recipient’s bank account.

“For many SoFi members who regularly send money to loved ones internationally, the ability to quickly transfer money at low cost isn’t just a convenience, it’s a meaningful improvement to their everyday financial lives,” said Anthony Noto, SoFi CEO. “By embedding this directly into SoFi’s app, we’re unlocking the value of blockchain technology, to give members faster, smarter, and more inclusive access to their money.”

“SoFi is one of the most innovative and forward-thinking financial platforms in the U.S. today," said David Marcus, CEO and co-founder of Lightspark. "Digital banks are embracing UMA because it's fast, cheap, and secure, and it uses the only open payments network that exists, Bitcoin. UMA on SoFi means customers can move dollars instantly, any time, globally, and we're excited to see the demand via SoFi's waitlist, proving that people are ready for the future of payments.”

The service will initially support transfers to Mexico, with plans to expand to more countries shortly after launch. Later this year, SoFi also plans to integrate international money transfers with its Checking & Savings accounts, strengthening its position as a one-stop financial platform.