Visa has announced the expansion of its stablecoin initiative by integrating five additional blockchains into its settlement pilot, adopting a multichain strategy for international payments. The company revealed on Wednesday that its stablecoin settlement program now covers nine networks, with a $7 billion annual run rate, marking a 50% increase from the previous quarter.
This program enables issuers and acquirers to settle transactions using stablecoins, bypassing traditional banking systems. The newly integrated blockchains include Coinbase's Base, Polygon, Canton Network, Circle's Arc, and Stripe-backed Tempo, joining the existing networks of Ethereum, Solana, Avalanche, and Stellar. As stablecoins, which are cryptocurrencies pegged to the value of fiat currencies, gain traction in cross-border transactions, Visa's move is a strategic response.
The company has been testing and implementing this model through various pilots and regional launches, including USDC settlement linked to card programs in over 50 countries. By utilizing blockchain-based dollars, partners can settle transactions in near real-time, eliminating the need for days-long waiting periods associated with traditional banking systems.
Visa's support for multiple networks aims to provide partners with access to diverse liquidity pools without added complexity. According to Rubail Birwadker, Visa's global head of growth products and strategic partnerships, 'Our partners operate in a multichain environment and expect their options to align with this reality. By expanding our stablecoin settlement pilot to more blockchains, our partners can select the networks that best suit their needs while relying on Visa to provide a unified settlement layer across all of them.'