Visa has announced the expansion of its stablecoin initiative by integrating five new blockchains, adopting a multi-chain strategy for global transactions. The company's stablecoin settlement pilot program now operates on nine networks and has achieved an annualized transaction volume of $7 billion, representing a 50% increase from the previous quarter. This program enables issuers and acquirers to settle transactions using stablecoins, bypassing traditional banking systems.
The newly added blockchains include Coinbase's Base, Polygon, Canton Network, Circle's Arc, and Stripe-backed Tempo, which join the existing integrations with Ethereum, Solana, Avalanche, and Stellar. As stablecoins, whose value is pegged to traditional currencies, gain popularity for cross-border transactions, Visa is testing this model through various pilots and regional launches, such as the USDC settlement tied to card programs in over 50 countries.
By utilizing blockchain-based currencies, partners can settle transactions in near real-time, eliminating the need for prolonged 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 multi-chain environment and expect their options to reflect this reality. By expanding our stablecoin settlement pilot program 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.'