In a significant move, Meta, the parent company of Facebook and Instagram, has introduced stablecoin payouts for creators, marking a renewed foray into crypto-powered payments after abandoning its Libra project. This feature is currently limited to a select group of creators in Colombia and the Philippines, as per the information available on Meta's website. Eligible creators can link their crypto wallets to receive payouts in USDC, a stablecoin offered by Circle, on the Solana or Polygon blockchain networks. Stripe, a leading payments firm, is providing support for this initiative by handling 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 from Stripe has confirmed the company's involvement in this project. Jay Shah, head of Link at Stripe, stated, 'Businesses can now send stablecoin payouts directly to customers using Link.
We are already partnering with Meta to enable their creators to receive stablecoins in their Link wallets in countries such as the Philippines and Colombia.' This development follows Meta's search for third-party vendors to facilitate stablecoin payments on its platforms, with Stripe being a top contender for integration. By embracing stablecoins for real-world payments, Meta joins the ranks of large tech firms leveraging blockchain technology to transfer money globally 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 payment method. For instance, Visa reported that its stablecoin settlement network reached $7 billion in annualized transaction volume, representing a 50% growth over the previous quarter.
This move marks Meta's return to stablecoins after the company attempted to launch the Libra token, later rebranded as Diem, only to discontinue the project due to regulatory scrutiny in 2022.