SoFiUSD goes live on Polygon, with redemption limited by issuer terms

On November 12, 2026, Polygon announced that SoFiUSD is live on its network, adding to the stablecoin's existing presence on Ethereum and Solana. The bank-issued stablecoin can be bought, sold, held and converted within the SoFi app, according to the announcement. SoFi refers to the token as $SOFID on its product page.

SoFi Bank, N.A., a nationally chartered bank regulated by the Office of the Comptroller of the Currency, issues the stablecoin. Polygon states that SoFi has more than 17 million members, though this figure counts app members rather than stablecoin holders or people transacting on Polygon. Payment businesses now have another settlement asset available on the network.

However, anyone receiving the token into an external wallet faces issuer redemption restrictions. Holding $SOFID does not grant holders direct rights to redeem it with SoFi Bank, as the terms specify that only approved customers can issue and redeem tokens under separate agreements with the bank.

Open Money Stack Integration

Polygon says $SOFID joins $USDC, $USDT and $PYUSD in its Open Money Stack, which combines wallets, regulated fiat access, compliance tooling, conversion, cross-chain routing and settlement. Payment businesses already settling on Polygon's network can use SoFiUSD for settlement without building new integrations.

Members can access SoFiUSD in the SoFi app today without requiring separate wallet setup. The app currently supports buying, selling, holding and converting the token. However, cross-border money movement and conversion into interest-bearing tokenized deposits remain future functionalities, according to the announcement.

Redemption Restrictions

The SoFiUSD terms apply to anyone acquiring, holding or transferring the token, including those without a SoFi account. Receiving the token creates no bank account, custodial relationship or advisory relationship with the issuer. Only approved customers can issue and redeem tokens at par, net of applicable fees, subject to onboarding, identity verification, sanctions screening and minimum amounts.

SoFi makes no guarantee of secondary-market liquidity and disclaims any obligation to list the token on an exchange or provide market making. The bank may suspend, delay or limit issuance and redemption under permitted circumstances. Eligibility restrictions also apply, excluding people in the European Economic Area, the United Kingdom and other restricted jurisdictions, as well as sanctioned parties and those below the stated age threshold.

Deposit Insurance Clarification

SoFi's product disclosure states that $SOFID is neither a deposit nor FDIC- or SIPC-insured and can lose value. The terms also exclude pass-through insurance on reserve assets. Holding $SOFID itself pays no interest or yield, as any rewards are reserved for separate arrangements.

SoFi targets reserve assets at least equal to the outstanding token supply, including cash, demand deposits and other highly liquid instruments. The issuer can change reserve composition and custody arrangements, and claims relating to $SOFID may be treated as general unsecured obligations if the bank becomes insolvent. Neither Polygon's announcement nor SoFi's product page provides the Polygon contract address or circulating supply figure.

SoFi's terms authorize administrative controls including pausing transfers, blocking wallets, freezing or burning tokens. These powers can be exercised without prior notice for legal requirements, security incidents or risk management reasons. The issuer can also add or remove network support at its discretion, leaving holders exposed to blockchain execution risks.