In a significant move, 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 the company previously abandoned its Libra project. Currently, this feature is available to a limited number of creators in Colombia and the Philippines, as per 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. This initiative is supported by Stripe, a payments firm that will handle 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 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 a leading contender for integration.
By adopting stablecoins for real-world payments, Meta joins the ranks of large tech firms experimenting with blockchain technology to transfer money globally without relying on traditional banking systems. Stablecoins, which are cryptocurrencies pegged to the value of fiat currencies, are increasingly seen as a faster and more cost-effective payment method.
For instance, Visa reported that its stablecoin settlement network reached an annualized transaction volume of $7 billion, representing a 50% growth in a single quarter. This move marks Meta's return to stablecoins after its previous attempt to introduce the Libra token, later renamed Diem, which was shut down in 2022 due to regulatory scrutiny.