Visa (V), the credit card leader, is introducing USDC settlement in the U.S., enabling issuer and acquirer partners to fulfill obligations to the card network using Circle’s dollar-pegged stablecoin.
This initiative represents the U.S. stage of a stablecoin settlement program that has achieved a $3.5 billion annual run rate as of November 30, as per a Visa press release on Tuesday.
The new option aims to provide banks and fintechs with nearly instantaneous funds movement, settlement available all week, and enhanced liquidity predictability during weekends and holidays, while maintaining the consumer card experience.
Stablecoins are cryptocurrencies tied to assets like fiat currencies or gold. They form the backbone of the crypto economy, acting as payment systems and facilitating cross-border money transfers. Tether’s USDT is the leading stablecoin, followed by Circle’s USDC.
Initial participants include Cross River Bank and Lead Bank, both settling with Visa in USDC via the Solana blockchain.
“Visa is broadening its stablecoin settlement offerings because our banking partners are not only requesting it – they’re gearing up to utilize it,” stated Rubail Birwadker, Visa’s global head of growth products and strategic partnerships, in the release.
The company anticipates expanding access to additional U.S. partners through 2026 and encourages interested clients to collaborate with their account teams as availability grows.
Additionally, the network is strengthening its partnership with Circle by acting as a lead design partner for Circle’s Arc blockchain and intends to support Arc for USDC settlement while operating a validator node once the chain goes live.
Visa initially explored USDC settlement in 2021, becoming one of the first major payment networks to execute transactions in a stablecoin in 2023. Since then, it has expanded support for more blockchains and stablecoins in its pilot program, offering partners flexibility in settling VisaNet obligations.
The new U.S. launch is targeted at financial institutions, fintechs, and treasury teams seeking to modernize settlement processes, enhance liquidity management, and develop programmable money-movement solutions that connect traditional banking systems with blockchain infrastructure.
Read more: Stablecoin Adoption Is ‘Exploding’ — Here’s Why Wall Street Is Going All-In