In a significant development, Meta, the parent company of Facebook and Instagram, has introduced stablecoin payouts for creators, marking a renewed foray into crypto-powered payments after abandoning its Libra project. This feature is currently being offered 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. Payments firm Stripe is providing support for this initiative, enabling 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. Jay Shah, head of Link at Stripe, confirmed the company's involvement, stating that businesses can now send stablecoin payouts directly to customers using Link, with Meta being one of the partners. This collaboration allows Meta's creators to receive stablecoins in their Link wallets, particularly in countries like the Philippines and Colombia. The news follows Meta's earlier efforts to engage third-party vendors for administering stablecoin payments on its platforms, with Stripe being a leading contender.
By embracing stablecoins for real-world payments, Meta, with its vast user base of over 3 billion across its social media platforms globally, is now among the largest tech firms to experiment with blockchain-based payment systems. Stablecoins, which are cryptocurrencies pegged to the value of fiat currencies, are gaining recognition as a faster and more cost-effective payment method.
For instance, Visa reported that its stablecoin settlement network achieved $7 billion in annualized transaction volume, marking a 50% growth in a quarter. This move signifies Meta's return to stablecoins after its earlier attempt to launch the Libra token, later renamed Diem, which was shut down in 2022 due to regulatory scrutiny.