Visa Builds Year-Round Global Payment Infrastructure Using Stablecoins

Visa Expands Stablecoin Settlement Across CEMEA with Aquanow Partnership

Visa Inc. (NYSE: V) has broadened its stablecoin settlement capabilities throughout Central and Eastern Europe, the Middle East, and Africa (CEMEA) by joining forces with Aquanow, a digital asset platform. This collaboration merges Aquanow’s blockchain infrastructure with Visa’s technology, allowing financial institutions to settle transactions using approved stablecoins such as USDC.

This strategic move is designed to lower the costs associated with cross-border payments, simplify operational processes, and enable settlements every day of the year. By doing so, Visa addresses persistent challenges in traditional payment systems, including delays over weekends and fees from intermediaries.

Building on Previous Success

The initiative follows Visa’s 2023 pilot program, which introduced USDC-based settlements for clients. Since its launch, the monthly transaction volume has exceeded a $2.5 billion annualized pace, highlighting a rising demand for quicker and more affordable payment solutions.

Godfrey Sullivan, Visa’s Head of Product and Solutions for CEMEA, noted that this partnership updates the foundational infrastructure of payments by moving away from outdated systems and preparing institutions for the next era of money movement. Aquanow CEO Phil Sham described the collaboration as a significant step toward expanding access to the digital economy through stablecoin technology.

The Role of Stablecoins in Modern Payments

Stablecoins are digital assets tied to fiat currencies, offering rapid settlements and consistent cash flows, which differ from conventional payment networks. For Visa, this expansion enhances its position as a global settlement leader, potentially increasing transaction volumes and recurring revenue. It also appeals to neobanks and fintech companies seeking efficient, cost-effective cross-border payment solutions.

Other major players are also making advances in this area. Mastercard has introduced tools for stablecoin transactions, and American Express is exploring crypto-linked rewards programs, though with a more cautious approach.

Institutional Adoption and Industry Trends

This partnership reflects a wider movement toward institutional adoption of stablecoins. Globally, stablecoin transactions have reached $46 trillion, with their use now extending beyond cryptocurrency exchanges to include institutional payments and settlements. For example, Deutsche Börse is incorporating euro-backed stablecoins into its market infrastructure.

Visa’s efforts align with its goal to digitize the movement of money, utilizing its established global network to facilitate secure and efficient transactions in over 200 countries.

Market Impact and Future Outlook

Visa’s shares have risen 5.6% so far this year, although the company’s forward price-to-earnings ratio of 25.52X remains above the industry norm. Analysts anticipate an 11.7% increase in earnings for fiscal 2026, reflecting optimism about Visa’s digital innovation strategies. As stablecoin usage becomes more widespread, Visa’s early adoption of blockchain technology may help secure its leadership in the rapidly changing payments sector.