Meta, the parent company of Facebook and Instagram, has initiated a stablecoin payout system for creators, marking a resurgence of crypto-based payments after abandoning its Libra project years ago. Currently, this feature is accessible to a limited number of creators in Colombia and the Philippines, as per a statement on Meta's website. Eligible users can link their crypto wallets to receive payouts in USDC tokens on the Solana or Polygon blockchain networks.
The payments firm Stripe is providing support for this service, handling crypto-related reporting and potentially issuing tax documents to creators for their earnings and digital transactions. Stripe's involvement was confirmed by a company spokesperson. Jay Shah, head of Link at Stripe, stated, 'Businesses can now send stablecoin payouts directly to customers using Link.
We are partnering with Meta to enable creators in countries like the Philippines and Colombia to receive stablecoins in their Link wallets.' This development follows Meta's search for third-party vendors to facilitate stablecoin payments, with Stripe being a leading contender. By integrating stablecoins, Meta joins the ranks of large tech firms exploring blockchain-based payments, allowing for faster and cheaper transactions without relying on traditional banking systems.
This move marks Meta's re-entry into the stablecoin arena after the discontinuation of its Libra project. Stablecoins, whose values are pegged to fiat currencies, are gaining recognition as a more efficient payment method. For instance, Visa reported a $7 billion annualized transaction volume for its stablecoin settlement network, which saw a 50% growth in a quarter.