In a significant development, Meta, the parent company of Facebook and Instagram, has begun offering payouts in stablecoins to its creators, marking a resurgence of crypto-based payments after its previous Libra project was put on hold. This new feature is currently limited to a select group of creators in Colombia and the Philippines, as per information available on Meta's website. Eligible creators can link their crypto wallets to receive payouts in USDC, a stablecoin issued by Circle, on the Solana or Polygon blockchain networks. Stripe, a leading payments firm, is providing support for this initiative, which includes crypto-related reporting for users.
As a result, creators may receive tax documents from both Meta and Stripe related to their earnings and digital asset transactions. A spokesperson from Stripe has confirmed the company's involvement in this project. Jay Shah, the head of Link at Stripe, stated, 'Businesses can now make stablecoin payouts directly to customers using Link, and we are already partnering with Meta to enable their creators to receive stablecoins in their Link wallets in countries such as the Philippines and Colombia.' This collaboration comes after Meta sought assistance from third-party vendors to facilitate stablecoin payments on its platforms, with Stripe being one of the top contenders for integration. By adopting stablecoins for real-world payments, Meta, with its vast user base of over 3 billion people globally, is now among the largest tech companies to experiment with blockchain technology for transferring money worldwide without relying on traditional banking systems.
Stablecoins, which are cryptocurrencies pegged to the value of fiat currencies, are increasingly being recognized as a faster and more cost-effective method of payment. For instance, Visa reported that its stablecoin settlement network reached an annualized transaction volume of $7 billion, representing a 50% growth in just one quarter. This initiative marks Meta's return to stablecoins after its previous attempt to introduce the Libra token, later renamed Diem, which was eventually shut down in 2022 due to regulatory scrutiny.