- Visa is settling transactions with the USD Coin stablecoin in a pilot program
- This system is being performed with Crypto.com and Anchorage
- Crypto.com is utilizing USDC to settle part of the obligations linked to its crypto playing cards
Visa is settling transactions on Ethereum in pilot with Crypto.com
Monetary companies heavyweight Visa is constant its involvement with blockchain and crypto. Earlier as we speak, the corporate introduced that it’s piloting a program for settling transactions made with the USD Coin (USDC) stablecoin on the Ethereum blockchain.
Visa is conducting the pilot program with Crypto.com, a cryptocurrency firm maybe greatest identified for its Visa-powered pay as you go crypto playing cards. Within the pilot, Crypto.com is utilizing USDC to settle part of the obligations linked to its crypto playing cards. The pilot additionally includes Anchorage, a cryptocurrency companies firm that secured a federal financial institution constitution within the U.S. in January. Anchorage is sustaining the Ethereum handle that Visa is utilizing to obtain USDC transactions from Crypto.com.
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In its press launch, Visa says that the flexibility to settle in a blockchain-based foreign money like USDC generally is a main increase for cryptocurrency-native corporations, because it removes the necessity for companies to transform digital currencies into fiat currencies. The corporate additionally stated that efforts associated to this pilot will help the Visa community assist central financial institution digital currencies (CBDCs).
Right here’s what Jack Forestell, chief product officer at Visa, needed to say concerning the pilot program:
“The announcement as we speak marks a serious milestone in our potential to handle the wants of fintechs managing their enterprise in a stablecoin or cryptocurrency, and it’s actually an extension of what we do daily, securely facilitating funds in all completely different currencies all the world over.”
Visa and Crypto.com not too long ago introduced a worldwide partnership and Crypto.com additionally grew to become a principal Visa member in Australia.
The information represents one other optimistic growth for USD Coin, however it’s nonetheless far faraway from overtaking Tether’s USDT as the #1 stablecoin. The market cap of USD Coin ($10.81B) is nearly 4 instances smaller than that of USDT ($39.74B). Nonetheless, USD Coin has left all rivals apart from USDT within the mud – DAI, the third-largest stablecoin, solely has a market cap of $3.02B.