Payment processing leader Visa has introduced USDC settlement services for select financial institutions in the United States.
Visa announced on Tuesday that its USDC (USDC) settlement service is now available for US financial institutions, with Cross River Bank and Lead Bank as the first participants; both banks have already commenced settling with Visa in USDC on the Solana blockchain, with a wider rollout anticipated in 2026.
This announcement follows USDC issuer Circle’s launch of a public testnet for its layer-1 blockchain Arc, which has garnered participation from over 100 significant partners, including Visa, Mastercard, BlackRock, and Goldman Sachs, in late October. Visa has indicated that it is a design partner for the network, which “provides the performance and scalability necessary to support Visa’s global commercial operations.”
Visa intends to utilize Arc for USDC settlements within its network and will operate a network node. The payment giant’s global head of growth products and strategic partnerships, Rubail Birwadker, remarked that “financial institutions are seeking quicker, programmable settlement options that integrate seamlessly with their existing treasury operations.”
Adapt or be left behind
Visa mentioned that the US launch is part of a broader initiative to modernize its settlement framework. Birwadker’s insights suggest that embracing stablecoins is a strategy to ensure the company stays relevant as stablecoins become more mainstream. He noted, “Visa is expanding stablecoin settlement because [its] banking partners are not just inquiring about it — they’re preparing to implement it.”
Visa appears to be proactively assisting financial institutions in integrating stablecoins into their operations. On Monday, the company rolled out a global Stablecoins Advisory Practice, a dedicated unit focused on helping banks, merchants, and fintechs design, implement, and manage stablecoin offerings.
Related: YouTube enables PYUSD stablecoin payouts for US creators: Report
On Nov. 27, Visa revealed it had enhanced its stablecoin settlement services in Central and Eastern Europe, the Middle East, and Africa through a partnership with crypto infrastructure provider Aquanow. The collaboration aims “to settle transactions using approved stablecoins like USDC, minimizing costs, operational friction, and settlement durations.”
Visa highlighted robust demand from banks and payment processors as the impetus for this initiative. However, not all of Visa’s stablecoin products are aimed at institutional clients.
On Nov. 12, Visa launched a pilot program in the US, enabling US dollar-pegged stablecoin payouts to user wallets from business accounts funded with fiat currency. Visa stated it is in the process of onboarding “select partners,” with expanded access to the service expected by 2026.
Related: Stablecoin usage in Venezuela likely to keep expanding amid economic instability
