SoFi Technologies started settling card transactions using its own stablecoin on Tuesday, a program the company says is the first of its kind for a U.S. bank.

All debit- and credit-card transactions will be settled using SoFiUSD, its dollar-backed stablecoin, over Mastercard's payments network, SoFi said. The program is expected to process more than $25 billion annually.

The company said the shift will showcase how bank-issued stablecoins-a type of cryptocurrency pegged to the U.S. dollar and backed by assets like bank deposits or Treasury bills-can coexist with existing payment infrastructure by "helping bridge traditional financial systems and blockchain-based networks."

Investors appeared to shrug at the announcement, as SoFi shares rose 1.3%. Mastercard stock dropped 1.6%, and the broader Nasdaq Composite fell 0.9%.

SoFiUSD became available to consumers in May, making it the first stablecoin issued by a U.S. national bank that customers could access through a banking app. The cryptocurrency launched late last year, but was only available to enterprise partners like card networks and retailers.

The company has said it planned to allow members to convert the stablecoin into interest-bearing tokenized deposits and make 24/7 international money transfers through blockchain technology.

Mastercard said in June it would expand settlement capabilities toward stablecoins, arguing the move would help "improve liquidity management and expanding choice in how money moves." It acquired the stablecoin infrastructure provider BVNK for $1.8 billion in March.