Visa is bolstering its commitment to stablecoins by integrating five new blockchains into its settlement network, adopting a multichain strategy for global transactions. The company announced on Wednesday that its stablecoin settlement pilot program has expanded to nine networks, achieving a $7 billion annual run rate, representing a 50% increase from the previous quarter. This initiative enables issuers and acquirers to settle transactions using stablecoins, an alternative to traditional banking systems.
The newly added blockchains, which include Coinbase's Base, Polygon, Canton Network, Circle's Arc, and Stripe-backed Tempo, join existing partnerships with Ethereum, Solana, Avalanche, and Stellar. As stablecoins gain traction in cross-border payments, Visa is exploring this model through various pilots and regional launches, such as the USDC settlement tied to card programs in over 50 countries. By leveraging blockchain-based currencies, partners can settle transactions in near real-time, eliminating the need for lengthy 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.'