Visa, a key player in the payment industry, has announced an expansion of its cryptocurrency initiatives, focusing on leveraging the USD Coin (USDC) stablecoin on the Solana blockchain for cross-border settlements.
Key Highlights:
- Partnerships: Collaborating with merchant payment processors Worldpay and Nuvei to facilitate multi-million-dollar USDC transfers.
- Solana’s Advantages: Utilizes Solana’s high-speed blockchain (400ms block time, 400+ TPS) for real-time settlement.
- Stablecoin Integration: USDC ($26B market cap) replaces traditional fiat for transaction settlements, enhancing efficiency.
Why Visa’s Move Matters
Visa’s strategy aligns with the growing demand for faster, cheaper cross-border payments. By adopting blockchain technology and stablecoins, Visa aims to:
- Reduce Settlement Times: From days to seconds.
- Lower Costs: Minimize intermediary fees associated with legacy systems.
- Modernize Treasury Operations: Offer clients a seamless way to send/receive funds globally.
How It Works
- Settlement Process: Funds move from cardholders’ accounts to merchant banks via USDC on Solana.
- Use Case: Crypto.com Visa card already uses Ethereum for cross-border settlements; Solana integration expands this capability.
“Global blockchain networks like Solana and Ethereum paired with stablecoins like USDC help improve cross-border settlement speed,” — Cuy Sheffield, Visa’s Crypto Lead.
Technical Edge of Solana
- Speed: 400ms block time, scalable to 2,000+ TPS.
- Cost-Efficiency: Lower transaction fees vs. Ethereum.
- Reliability: Proven infrastructure for high-volume settlements.
👉 Explore how blockchain is reshaping global payments
Visa’s Crypto Roadmap
- 2022: Piloted USDC settlements with Crypto.com on Ethereum.
- 2023: Launched Ethereum-based solution for gas fee payments via debit/credit cards.
- Future Goals: Expand stablecoin use cases and blockchain interoperability.
FAQs
Q: Why did Visa choose Solana for USDC settlements?
A: Solana’s high throughput and low costs make it ideal for real-time, large-scale payments.
Q: How does USDC improve cross-border transactions?
A: It eliminates forex delays and reduces reliance on correspondent banks.
Q: Will Visa support other stablecoins or blockchains?
A: While focused on USDC and Solana/Ethereum now, Visa may explore additional networks based on demand.
Q: Is this solution available to all merchants?
A: Currently limited to partners like Worldpay/Nuvei, with potential for broader rollout.
👉 Learn more about the future of digital payments
Note: All hyperlinks except the specified OKX link have been removed as per guidelines.
### SEO Keywords:
1. **USDC stablecoin**
2. **Solana blockchain**
3. **Visa cross-border payments**
4. **Cryptocurrency settlements**
5. **Stablecoin adoption**