In a notable move, Meta, the parent company of Facebook and Instagram, has initiated stablecoin payouts for creators, marking a resurgence in its exploration of cryptocurrency-based payments after previously discontinuing its Libra project. This feature is initially available to a limited number of creators in Colombia and the Philippines, as per information on Meta's website. Eligible creators can link their cryptocurrency wallets to receive payouts in USDC, a stablecoin issued by Circle, on the Solana or Polygon blockchain networks.
Stripe, a leading payments firm, is providing support for this service, including crypto-related reporting. As a result, creators may receive tax documents from both Meta and Stripe related to their earnings and transactions involving digital assets.
A spokesperson from Stripe has confirmed the company's involvement in this initiative. Jay Shah, who heads Stripe's Link service, noted, 'Businesses can now directly send stablecoin payouts to customers using Link. We are already collaborating with Meta to enable their creators to receive stablecoins in their Link wallets in countries such as the Philippines and Colombia.' This development follows Meta's earlier efforts to engage third-party vendors for the administration of stablecoin payments on its platforms, with Stripe being a key contender for this integration.
By embracing stablecoins for real-world payments, Meta joins the ranks of large tech companies experimenting with blockchain technology to facilitate global money transfers without relying on traditional banking systems. Stablecoins, which are cryptocurrencies pegged to the value of fiat currencies, are increasingly recognized as a faster and more economical 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 over the last quarter. This initiative signifies Meta's re-entry into the stablecoin space after its previous attempt to launch the Libra token, later renamed Diem, which was ultimately discontinued in 2022 due to regulatory scrutiny.