Stablecoins, those steadfast dollar-pegged tokens that have quietly grown to rival Visa and Mastercard in transaction volume for international payments, are about to pick up the pace. Alchemy, a blockchain infrastructure firm often likened to the “AWS of crypto,” has announced a significant leap forward in its technology. As of today, August 1, 2025, Alchemy claims to have slashed delays by a remarkable 66% across crypto’s transaction rails, promising a seismic shift in how quickly stablecoin transactions are processed.
Breaking the Speed Barrier
Alchemy’s latest tech upgrade, known as the Cortex Engine architecture, has redefined the landscape of blockchain transaction speeds. Guillaume Poncin, Alchemy’s CTO, shared in an email that the company powers the majority of stablecoin issuers, such as Paxos and Circle, though not directly supporting Tether Holdings Ltd. Despite this, Alchemy facilitates a substantial fraction of USDT-related activity across diverse applications, from money movement to DeFi and trading.
In the world of finance, speed is more than just a luxury—it’s a necessity. Traditional finance giants like Visa can handle upwards of 65,000 transactions per second (TPS). Previously, blockchain’s decentralized nature meant varying latency values, but now, thanks to Alchemy’s innovations, the average transaction response time has plummeted from 300-400 milliseconds to under 50 milliseconds. This positions blockchain transactions closer to the instant settlement experiences customers expect from conventional payment systems.
“We all love when things go faster,” Poncin remarked during an interview. “It’s not just about speed; it’s about the scale we can reach. We’re talking about NASDAQ-level transaction volumes here.” Indeed, Alchemy’s infrastructure can now process hundreds of thousands of requests per second, a feat that represents a 1000x increase in throughput on a single blockchain node.
The Ripple Effect on the Market
What does this mean for the broader cryptocurrency landscape? For one, it underscores the growing legitimacy and utility of stablecoins beyond mere placeholders in crypto wallets. These tokens are playing a critical role in the global payment ecosystem, challenging the dominance of established financial networks by offering a digital, decentralized alternative. This aligns with the insights shared in Voices of Crypto: Stablecoins Are Actually Working in 2025, highlighting the pivotal role stablecoins are playing in today’s financial systems.
Analysts are buzzing with speculation about the potential ripple effects. “This is a game-changer,” said Julia Lin, a blockchain analyst at Crypto Insights. “Alchemy’s advancements could set a new benchmark for transaction speeds and interoperability in the crypto space. It’s a step toward making blockchain technology more viable for mainstream adoption.”
Alchemy, founded by Stanford computer scientists in 2017, has always been at the forefront of blockchain innovation. The firm has developed tools to simplify the operation of blockchain nodes at an enterprise level, collaborating with industry heavyweights like Coinbase, Stripe, JPMorgan, and Anchorage. Their programmable APIs facilitate everything from data indexing to smart contract automation, and now, with their latest upgrade, wallet optimizations have reached new heights.
Looking Ahead
But here’s the catch: while the technical achievements are undeniably impressive, questions linger about the long-term sustainability of such rapid advancements. Can Alchemy maintain this pace of innovation without compromising security or reliability? And how will traditional financial institutions respond to this new wave of competition? For insights into how the market is preparing for such changes, see HTX Rolls Out Multi-Layered Incentives to Welcome Users Into the Next Frontier in the Golden Age of Stablecoins.
As the crypto world watches closely, one thing is certain—Alchemy has set the stage for a new era of blockchain transactions. Whether this trend can continue remains a subject of debate. Yet, the implications are clear: as stablecoins become faster and more efficient, they inch closer to mainstream acceptance, potentially reshaping the future of global finance.
For now, users are reveling in the newfound speed. Poncin shared a telling anecdote: “We rolled this out to some of our users without fanfare, just to see the reaction. The feedback was immediate—people noticed the difference. They were opening their apps and wondering, ‘What did you guys do to make it so fast?'”
As the crypto market continues its relentless evolution, Alchemy’s latest upgrade stands as a testament to the industry’s drive to not only compete with, but potentially surpass, traditional financial systems. Whether you’re a crypto enthusiast or a cautious observer, one thing’s for sure—these are exciting times for digital finance.
Source
This article is based on: Stablecoins Speed Up Thanks to ‘AWS of Crypto’ Alchemy’s Latest Upgrade
Further Reading
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Steve Gregory is a lawyer in the United States who specializes in licensing for cryptocurrency companies and products. Steve began his career as an attorney in 2015 but made the switch to working in cryptocurrency full time shortly after joining the original team at Gemini Trust Company, an early cryptocurrency exchange based in New York City. Steve then joined CEX.io and was able to launch their regulated US-based cryptocurrency. Steve then went on to become the CEO at currency.com when he ran for four years and was able to lead currency.com to being fully acquired in 2025.
