Visa is expanding its data offering to blockchain-based lenders as demand for stablecoin-linked cards accelerates, with more than 160 programs now using its network 💳
Payment volume on these stablecoin-linked cards has increased nearly 200% year over year, while stablecoin settlement volume has surpassed a $20B annualized run rate 📈
Visa is connecting VisaNet settlement data with onchain lending infrastructure to help card issuers access working capital more efficiently 💰
The company has piloted the model with Credit Coop, reaching more than $2.5B in cumulative financed settlement volume since 2023 with no reported defaults.
Visa sees stablecoins as a potential new growth channel, allowing crypto-native payment products to use its existing infrastructure while expanding transaction volumes.
However, stablecoin payments remain relatively small compared with Visa's traditional business, while regulation, competition, credit and operational risks could limit the impact ⚠️
The new data-sharing model also creates potential privacy and reputational risks as Visa expands its role across blockchain lending and stablecoin payments.
Today's Pill - Visa is positioning itself to connect traditional payments with blockchain finance, showing how established financial infrastructure may benefit from stablecoin growth while still facing the risks of a rapidly evolving crypto ecosystem 🔄
Payment volume on these stablecoin-linked cards has increased nearly 200% year over year, while stablecoin settlement volume has surpassed a $20B annualized run rate 📈
Visa is connecting VisaNet settlement data with onchain lending infrastructure to help card issuers access working capital more efficiently 💰
The company has piloted the model with Credit Coop, reaching more than $2.5B in cumulative financed settlement volume since 2023 with no reported defaults.
Visa sees stablecoins as a potential new growth channel, allowing crypto-native payment products to use its existing infrastructure while expanding transaction volumes.
However, stablecoin payments remain relatively small compared with Visa's traditional business, while regulation, competition, credit and operational risks could limit the impact ⚠️
The new data-sharing model also creates potential privacy and reputational risks as Visa expands its role across blockchain lending and stablecoin payments.
Today's Pill - Visa is positioning itself to connect traditional payments with blockchain finance, showing how established financial infrastructure may benefit from stablecoin growth while still facing the risks of a rapidly evolving crypto ecosystem 🔄
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