Visa Unveils Stablecoin Advisory Service Amid Crypto Surge
Visa is enhancing its role in the cryptocurrency landscape by launching a new Stablecoins Advisory Service. This initiative aims to assist various financial entities, including fintech companies and banks, with stablecoin strategy development and implementation. The announcement was made on Monday, marking a significant move for the payment giant.
Understanding Stablecoins
Stablecoins are unique cryptocurrencies designed to keep their value stable by linking them to reserve assets, usually fiat currencies like the U.S. dollar. Recently, stablecoins have gained traction among traditional financial institutions.
Expansion of Stablecoin Services
Visa’s advisory service is a response to increasing demand from clients looking to navigate the stablecoin landscape. Carl Rutstein, the global head of Visa Consulting and Analytics, emphasized the company’s commitment to supporting its clients’ growth. Major organizations, such as Navy Federal Credit Union and VyStar, are among those exploring this technology’s potential.
Client Benefits of the Advisory Service
- Strategic guidance for stablecoin implementation
- Technological support for operations
- Advice on cross-border transactions and business-to-business dealings
Some businesses may opt to adopt stablecoins fully, while others may evaluate their suitability based on customer needs.
Visa’s Commitment to Cryptocurrency
Visa has established itself as a key player in the crypto sector. In 2023, the company conducted stablecoin settlements using USDC and currently operates over 130 stablecoin-linked card programs across more than 40 countries. Its annualized volume for stablecoin settlements stands at approximately $3.5 billion.
Future Expectations
Visa aims to expand its advisory program to serve hundreds of clients in the coming years. The potential for stablecoins to enhance payment speeds and reduce costs is a driving factor behind this growth.
As the world of cryptocurrency continues to evolve, Visa’s stablecoin advisory service represents a significant step in the integration of digital assets into traditional finance.
