- SoFi will launch Bitcoin Lightning Network money transfers later this year through a partnership with Lightspark.
- Users can send money instantly at lower costs than traditional services, but recipients will receive local currency deposits rather than Bitcoin.
SoFi Technologies will introduce international money transfers powered by Bitcoin’s Lightning Network through a strategic partnership with Lightspark. The digital banking platform plans to roll out the blockchain-based remittance service later this year, starting with Mexico as the initial market.
The San Francisco-based fintech company will integrate Lightspark’s Universal Money Address (UMA) technology to enable real-time cross-border payments for its 11.7 million members. Users will send U.S. dollars through the SoFi mobile application, while recipients receive deposits in their local currency.
SoFi Returns to Crypto
SoFi CEO Anthony Noto emphasized that fast, affordable international transfers represent more than convenience for the company’s members. He stated that the technology delivers meaningful financial improvements for families sending money across borders.
For many SoFi members, sending money to family abroad isn’t optional – it’s essential. That’s why we partnered with @lightspark to power our soon-to-launch blockchain-enabled international money transfer service directly from the SoFi app. https://t.co/8Q06flFR11
— Anthony Noto (@anthonynoto) August 19, 2025
The announcement marks SoFi’s return to cryptocurrency services after suspending operations in 2023 during its transition to become a national bank. The company becomes the first major U.S. bank to leverage Bitcoin’s Lightning Network for international transfers.
Lightning Network Technology Powers Innovation
Bitcoin’s Lightning Network operates as a layer-2 scaling solution designed to address the main blockchain’s limitations. The network creates off-chain payment channels that bypass slow transaction times and high fees associated with traditional Bitcoin transfers.
This infrastructure enables instant micropayments with significantly reduced costs compared to conventional remittance services. Lightning Network transactions process within seconds rather than the minutes or hours required for standard Bitcoin blockchain confirmations.
Lightspark’s UMA protocol provides the technical foundation for SoFi’s service. The system converts U.S. dollars into Bitcoin in real-time, routes funds across international borders through Lightning Network rails, and delivers payments directly to recipient bank accounts in local currencies.
The Universal Money Address functions similarly to email addresses, allowing users to send money using simple identifiers rather than complex cryptocurrency wallet addresses. This approach removes technical barriers that typically prevent mainstream adoption of blockchain-based payment systems.
