Visa has launched a pilot program in the United States allowing businesses to send payments in fiat currency, with recipients receiving stablecoins directly to their crypto wallets. This innovative initiative aims to simplify cross-border and digital payments by combining the reliability of traditional banking with the efficiency of blockchain-based stablecoins.
How it Works
Businesses initiate payouts using fiat currency, which Visa converts into stablecoins (likely USDC) before sending them to recipients’ compatible crypto wallets. This eliminates the need for businesses to manage crypto directly, making integration of blockchain payments a smoother process. Meanwhile, recipients benefit from near-instant settlement, reduced fees compared to traditional banking systems, and the flexibility of digital assets.
Expanding Visa’s Crypto Vision
This pilot is part of Visa’s broader strategy to embrace digital currencies as an integral part of the future of finance. Building on previous collaborations with Circle (USDC issuer) and exploration of Ethereum-based transactions for settlement, this initiative reinforces Visa’s position as a forward-thinking financial leader in revolutionizing payment infrastructure. Success could pave the way for wider adoption of stablecoin payouts across various business transactions.