Meta, the parent company of Facebook and Instagram, has initiated a stablecoin payout system for creators, marking its reentry into crypto-based payments after abandoning its Libra project. Currently, this feature is available to a limited number of creators in Colombia and the Philippines, as per a statement on Meta's website. Eligible creators can link their crypto wallets to receive USDC token payouts on the Solana or Polygon blockchain networks.
This service is supported by Stripe, a payments firm that will handle crypto-related reporting for users, who may receive tax documents from both Meta and Stripe related to their earnings and digital transactions. A spokesperson from Stripe has confirmed the company's involvement. Jay Shah, head of Link at Stripe, stated that businesses can now send stablecoin payouts directly to customers via Link, adding that they 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 doing so, Meta joins the list of tech giants using stablecoins for real-world payments, leveraging blockchain technology to transfer money globally without relying on traditional banking systems. Stablecoins, whose prices are pegged to fiat currencies, are gaining recognition as a faster and more affordable payment method. For instance, Visa reported that its stablecoin settlement network reached $7 billion in annualized transaction volume, witnessing a 50% growth in a quarter. This initiative signals Meta's renewed interest in stablecoins after its previous attempt to introduce the Libra token, later renamed Diem, which was shut down due to regulatory scrutiny in 2022.