In a significant move, Meta, the parent company of Facebook and Instagram, has started offering payouts in stablecoins to its creators, marking a resurgence of its interest in cryptocurrency-based payments after abandoning its Libra project. This feature is currently limited to a select group of creators in Colombia and the Philippines, as per the 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.
The payments firm Stripe is providing support for this initiative, including crypto-related reporting for users, who 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, commented, 'Businesses can now send stablecoin payouts directly to customers using Link. 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 development comes after Meta sought the assistance of third-party vendors to facilitate stablecoin payments on its platforms, with Stripe being one of the top contenders for this integration.
By adopting stablecoins for real-world payments, Meta, with its user base of over 3 billion across its social media platforms globally, is now among the largest tech firms 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 viewed as a faster and more affordable method of payment. For instance, Visa has reported that its stablecoin settlement network has reached an annualized transaction volume of $7 billion, marking a 50% growth in just one quarter. This initiative also marks Meta's return to the stablecoin space after its attempt to introduce the Libra token, later renamed Diem, which was eventually shut down in 2022 due to regulatory scrutiny.