Visa has advanced its stablecoin settlement capabilities by enabling merchant acquirers like Worldpay and Nuvei to receive USDC payouts via the Solana and Ethereum blockchains. Through live pilots, Visa has already processed millions in USDC transactions between partners, streamlining cross-border settlements for fiat-denominated VisaNet payments.
How Visa’s Settlement System Works
When consumers use Visa cards globally, near-instant payment authorizations mask a complex backend process: funds must move between the issuer (consumer’s bank) and acquirer (merchant’s bank). Visa’s treasury system facilitates this daily movement of billions across 15,000 financial institutions and 25+ currencies.
"By leveraging stablecoins like USDC and global blockchain networks like Solana and Ethereum, we're improving cross-border settlement speed and offering a modern option for clients to move funds with Visa’s treasury."
— Cuy Sheffield, Head of Crypto, Visa
Key Benefits of Stablecoin Settlement
- Faster cross-border transactions: Reduces days-long wire transfers to minutes.
- Cost efficiency: Eliminates expensive currency conversions.
- Flexibility: Merchants can opt for USDC over traditional fiat.
Evolution from Crypto.com Pilot to Acquirer Integration
Phase 1: Issuer-Side Testing (2021)
Visa pioneered stablecoin settlements with Crypto.com, using USDC on Ethereum to:
- Settle cross-border Visa card transactions in Australia.
- Replace slow wire transfers with blockchain-based USDC transfers to Visa’s Circle account.
👉 How Crypto.com’s pilot transformed Visa settlements
Phase 2: Expanding to Acquirers
Visa now extends this capability to acquirers:
- Worldpay and Nuvei receive USDC payouts via Visa’s Circle account.
- Merchants (including crypto-native businesses) gain stablecoin receipt options for card payments.
Solana Blockchain Integration
Visa added Solana support to address partner demand for:
- High performance: 400+ TPS with sub-second block times.
- Low-cost transactions: Ideal for high-volume settlements.
Example: During peak demand, Solana handles 2,000+ TPS, ensuring scalability.
Strategic Partnerships Driving Innovation
- Worldpay:
"Visa’s USDC capability lets us offer merchants more funding choices, critical in today’s commerce landscape."
— Jim Johnson, President, Worldpay Merchant Solutions - Nuvei:
"Stablecoins like USDC are cutting-edge technology for global businesses to accelerate growth."
— Philip Fayer, CEO, Nuvei
👉 Explore Visa’s digital currency innovations
FAQs
Q1: Which stablecoin does Visa use for settlements?
A1: Visa exclusively uses USDC (USD Coin) for blockchain-based settlements.
Q2: Can merchants choose to receive fiat instead of USDC?
A2: Yes. Acquirers like Worldpay and Nuvei offer both traditional fiat and USDC options.
Q3: Why did Visa add Solana support?
A3: Solana’s high speed (400+ TPS) and low costs make it ideal for scalable settlements.
Q4: How does USDC improve cross-border payments?
A4: It bypasses slow wire transfers and currency conversions, settling in minutes.
Q5: Which merchants benefit most from USDC settlements?
A5: Crypto platforms, NFT marketplaces, and global e-commerce businesses.
Q6: Is Visa planning to support other blockchains?
A6: While expanding to Solana is recent, Visa continues evaluating emerging networks.