Visa is bolstering its commitment to stablecoins by expanding its support to five more blockchain networks, adopting a multi-chain strategy for international payments. The company announced on Wednesday that its stablecoin settlement pilot program now encompasses nine networks and has achieved an annualized run rate of $7 billion, representing a 50% increase from the previous quarter. This program enables issuers and acquirers to settle transactions using stablecoins instead of traditional banking systems.
The newly added blockchain networks 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. This development occurs as stablecoins, cryptocurrencies pegged to the value of traditional currencies, are becoming increasingly popular for cross-border money transfers. Visa has been exploring this model through pilots and regional launches, including the use of USDC for card program settlements in over 50 countries.
By utilizing blockchain-based currencies, partners can settle transactions in near real-time, eliminating the need for multiple-day 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.'