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. This new feature is currently limited 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. The payments firm Stripe is providing support for this initiative, handling crypto-related reporting and potentially issuing tax documents to creators for their earnings and digital asset transactions.
A spokesperson from Stripe confirmed the company's involvement in this project. According to Jay Shah, the head of Link at Stripe, 'Businesses can now send stablecoin payouts directly to customers using Link.
We are already partnering with Meta so their creators can receive stablecoins in their Link wallets in countries like the Philippines and Colombia.' This development follows Meta's earlier efforts to collaborate with third-party vendors for administering stablecoin payments on its platforms, with Stripe being a leading contender. By adopting stablecoins for real-world payments, Meta joins the ranks of large tech firms leveraging blockchain technology to facilitate global transactions without relying on traditional banking systems. Stablecoins, which are cryptocurrencies pegged to the value of fiat currencies, are gaining recognition as a faster and more cost-effective method of payment. For instance, Visa reported that its stablecoin settlement network achieved an annualized transaction volume of $7 billion, representing a 50% growth over a quarter.
This initiative marks Meta's re-entry into the stablecoin space after its previous attempt to launch the Libra token, later renamed Diem, which was discontinued in 2022 due to regulatory scrutiny.