In a significant move, Meta, the parent company of Facebook and Instagram, has begun offering payouts in stablecoins to its creators, marking a resurgence in its exploration of cryptocurrency-based payments after previously abandoning its Libra project. This new 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 USDC tokens, a stablecoin issued by Circle, on either the Solana or Polygon blockchain networks. The rollout of this service is facilitated by Stripe, a prominent payments company, which will also handle 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. A spokesperson for Stripe confirmed the company's involvement in this initiative.
Jay Shah, who leads Stripe's Link service, noted, 'Businesses can now use Link to send stablecoin payouts directly to their customers. We are already working with Meta to enable their creators in countries like the Philippines and Colombia to receive stablecoins in their Link wallets.' This development follows Meta's earlier efforts to integrate stablecoin payments through third-party vendors, with Stripe being a key contender. By embracing stablecoins for real-world transactions, Meta joins the ranks of large tech firms leveraging blockchain technology to facilitate global payments without relying on traditional banking systems. Stablecoins, which are cryptocurrencies pegged to the value of fiat currencies, are gaining recognition for their potential to offer faster and cheaper payment solutions.
For instance, Visa has reported that its stablecoin settlement network has 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 with the Libra token, later renamed Diem, was discontinued in 2022 due to regulatory pressures.