RAMP × STRIPE × PRIVY · STABLECOINS, EXPLAINED SIMPLY

Who gets paid when money moves?

Ramp, Stripe, and Privy just rebuilt how businesses hold and move dollars — using stablecoins instead of banks. This site maps the whole thing for someone with zero crypto background: how a payment actually travels, where the fees hide, who earns quietly off your idle cash, and what the banking industry just lost. Four sections, top to bottom:

1 · Sending $10,000 to a supplier overseas

The same payment, two ways: the traditional bank wire (how most businesses do it today) vs. the Ramp + Stripe + Privy stablecoin model. Follow the money top to bottom. Colored tags show who owns each step, where fees are charged, who earns money quietly, and how long it takes.

Owned by banks / card networks
Owned by Ramp / Stripe companies
💸 A fee you pay
🪙 Someone earns quietly (you don't see it)
⏱ Time / waiting

The traditional way: bank wire

Your money hops between banks like a relay race. Each runner takes a cut.

STEP 1

Your money sits in a bank account

Before you even pay anyone, your idle cash is earning interest — for the bank. Most business checking accounts pay you ~0%.

Your bank 🪙 Bank keeps ~4% interest on your deposits
you decide to pay a supplier in Mexico
STEP 2

You request an international wire

Only works on business days, before a daily cutoff time (often ~2–5pm). Miss it and everything starts tomorrow.

Your bank 💸 Wire fee: $25–50 ⏱ Banking hours only
your bank sends a message, not money
STEP 3

SWIFT relays the instruction

SWIFT is a messaging network owned by the banks themselves. It doesn't move money — it tells banks to update their ledgers.

SWIFT (bank co-op) 💸 Messaging fees (baked in)
your bank may not know the Mexican bank…
STEP 4

Correspondent banks pass it along

If your bank has no relationship with the supplier's bank, 1–3 middlemen banks bridge the gap. Each one takes a "lifting fee" and adds a day.

Middlemen banks 💸 $10–30 each, deducted en route ⏱ +1–3 business days
finally arriving in Mexico
STEP 5

Supplier's bank converts to pesos

The exchange rate you get is worse than the real rate — the difference (the "spread") is profit for the bank. Often the biggest hidden cost of all.

Supplier's bank 💸 FX spread: 1–4% ($100–400!) 💸 Receiving fee
DONE

Supplier gets paid

Days later, and less money than you sent. If anything went wrong, tracing it means calling banks one by one.

⏱ Total: 3–5 business days
 

What this trip cost you

  • Wire + middlemen + receiving fees ~$50–120
  • Hidden FX spread ~$100–400
  • Interest on your idle cash Bank keeps it
  • Speed 3–5 business days

The new way: stablecoins via Ramp

Your dollars become digital tokens that move like email — any time, in minutes.

STEP 1

You fund a Ramp Stablecoin Account

Send dollars by ACH/wire; they're converted to stablecoins (digital tokens, each backed by $1 of real assets). Ramp charges no conversion fee. The account is really a digital wallet built by Privy, with the tokens held safe by Bridge — both owned by Stripe.

Ramp (app) · Privy (wallet) · Bridge (custody) ⏱ Funding still takes ~1 day (old rails!)
while your money sits there…
STEP 2

Your balance quietly earns ~4%

Every token is backed by real dollars invested in US Treasury bills. That interest used to go 100% to banks or coin issuers. Here it's split: Bridge takes a slice, Ramp takes a slice, and Ramp passes you up to 3.25% as "rewards."

Bridge manages reserves (BlackRock/Fidelity) 🪙 ~4% yield split: Bridge → Ramp → you get up to 3.25%
you hit "pay" — at 11pm on a Sunday, no problem
STEP 3

Tokens move on a blockchain

The blockchain is a shared public ledger no single company controls. Transfer settles in seconds-to-minutes, 24/7/365, with a permanent record anyone can verify. Ramp covers the tiny network ("gas") fee.

Public blockchain (Base, Solana…) ⏱ Minutes, any hour, any day
does the supplier want tokens or pesos?
STEP 4

Two endings

A) Supplier accepts stablecoins (140+ countries): done, they got digital dollars directly. B) Supplier wants local currency (40+ currencies): Bridge converts and pays out over local rails. This conversion is where Ramp and Bridge charge their fee — smaller than the bank version, but not zero.

Bridge + local payout partners 💸 Conversion/payout fee (this is where Ramp & Bridge earn)
DONE

Supplier gets paid

Same day — often within minutes. Both sides can see the transaction on the public ledger.

⏱ Total: minutes–hours
 

What this trip cost you

  • Transfer + conversion fees ~$0–50
  • Interest on your idle cash You get up to 3.25%
  • Speed Minutes, 24/7
  • Trade-off Not FDIC-insured

2 · So who's making money in the new model?

The fees didn't vanish — they got smaller, and moved to new owners. Here's each player's cut:

Ramp

The storefront

Keeps a slice of the ~4% reserve interest (pays you up to 3.25%, keeps the rest) · fees on currency conversion/payouts · interchange: ~2% paid by merchants every time its cards are swiped · subscription software.

Stripe / Bridge

The engine room

Bridge charges small fees on every conversion and payout, and takes its own slice of the reserve interest before Ramp's. Stripe also earns card-processing fees on the card programs it runs for Ramp.

Privy (Stripe)

The wallet maker

Charges platforms usage-based fees for creating and securing digital wallets. Now Stripe-owned, it's the piece that lets Ramp give every customer a wallet without building crypto tech.

Still in the room

The old guard didn't leave

Visa still earns on every card swipe · a sponsor bank (Lead Bank) earns for lending its license · BlackRock/Fidelity earn fees managing the reserves. Fewer middlemen per payment — but not zero.

3 · Follow the interest: who keeps the ~4% your money earns?

Your parked cash always earns interest somewhere. The real revolution here is who gets to keep it. (Illustrative split on a $100,000 balance earning ~4% ≈ $4,000/yr.)

Traditional bank account
Bank keeps ~$3,900
Ramp Stablecoin Account
Bridge
Ramp
You: up to $3,250 in "rewards"

4 · Whose revenue was this before? A territory map

Every dollar the new players earn falls into one of four buckets: captured from banks, reshuffled from the card industry, net-new ground banks never touched — or the sliver banks still keep.

🏴 Captured from banks TAKEN

The deposit float

Bank kept ~4%Bridge → Ramp → you

The single biggest transfer. Idle cash interest — roughly half of a bank's revenue model — leaves the banking system.

Cross-border toll booth

4–5 banks split $150–500Bridge + Ramp split less

Correspondent banks aren't repriced — they're deleted from the route entirely.

FX spread

Bank currency desksBridge conversion fee

Same product, smaller price, new owner.

🔀 Card stack reshuffled DEMOTED

Card program economics

Issuing bank owned ~2%+Ramp + Stripe keep margin

The bank shrinks to a rented license: Lead Bank collects basis points for lending its charter.

Issuing back-office

Bank vendors (FIS, Fiserv)Stripe Issuing APIs

Fraud, disputes, statements — bank plumbing resold as software.

✨ Net-new ground NO INCUMBENT

Businesses banks wouldn't serve

No dollar account, no cardInterchange from new swipes

A firm in Mexico or Nigeria couldn't get a US corporate card. Every swipe is revenue that never existed.

Dollar demand abroad

Latent, unmonetizedNew float on new deposits

Businesses in devaluing currencies holding digital dollars = deposits created, not stolen.

Infrastructure as a product

Never offered by banksPrivy wallets · Bridge issuance

"Accounts as an API" and "launch your own dollar, keep the yield" are brand-new product categories.

Off-hours & programmable money

Banks were closed24/7 volume + just-in-time funding

70%+ of volume moves outside banking hours; card money earns yield until the second it's spent.

🏦 What banks still keep CHARTER REQUIRED

BIN sponsorship

Cards legally need a bank. Lead Bank rents its license — a fee, not ownership.

Fiat on/off ramps

Getting dollars in and out still runs through ACH/wires — bank rails, ~1 day.

Reserve management

The T-bills backing every token sit with BlackRock, Fidelity & co., earning management fees.

Banks: owners of the flow Banks: suppliers to the flow — they keep only the pieces that require a charter.

The fine print, in plain English: the 3.25% is legally a "reward," not interest (a 2025 law bans stablecoin issuers from paying interest, so it's routed through Ramp instead — and requires $5,000+ monthly deposits and 5+ payments to qualify). Stablecoin balances are not FDIC-insured like a bank account. And the fiat edges — moving dollars in, or paying out to a regular bank account — still run on the old rails and still take about a day. The blockchain middle is instant; the doors in and out are not.