Visa pilots stablecoin funding to speed up cross-border payments

Unlocks liquidity, cuts costs, and modernises treasury operations for global businesses

Last updated: September 30, 2025 | 13:33

2 MIN READ

Visa pilots stablecoin funding to speed up cross-border payments

AFP

Dubai: Visa has announced a new pilot under its Visa Direct platform that will use stablecoins to fund cross-border payments, aiming to make global money movement faster and more efficient for businesses.

Visa Direct already connects over 11 billion eligible cards, bank accounts, and wallets worldwide. The new pilot introduces a stablecoin prefunding option, which allows businesses to send stablecoins instead of fiat currency to cover international payouts.

Also Read: Now get real-time crypto-to-cash conversion for Visa, Mastercard users on Bitget

Why it matters

For decades, cross-border transfers have relied on systems that are often slow and capital-intensive, requiring businesses to hold large balances in advance. Visa says stablecoins can address these challenges by:

Unlocking liquidity — freeing up capital that would otherwise be tied up in prefunding accounts.
Modernizing treasury operations — enabling near-instant money movement across borders.
Reducing volatility — offering more predictable settlements, less affected by currency swings.
Lowering costs — allowing more frequent prefunding without extra expense.

Chris Newkirk, President of Commercial & Money Movement Solutions at Visa, said: “Cross-border payments have been stuck in outdated systems for far too long. With this pilot, Visa Direct is laying the groundwork for money to move instantly across the world, giving businesses more choice in how they pay.”

Also Read: Visa, Coinbase offer real-time crypto purchases via debit cards

How the pilot works

Businesses send stablecoins to Visa, which treats them as prefunded balances to back payouts.
The service is aimed at banks, remittance providers, and financial institutions seeking faster and more flexible liquidity management.
Visa is running the pilot with select partners, with plans to expand in 2026.

Bigger picture

The initiative builds on Visa’s broader strategy to modernise payments by combining its global network with blockchain-based solutions. The company says the pilot is part of its push to create a money movement system that is faster, more flexible, and tailored to the digital-first economy.

Also Read: Visa, Mastercard dominance faces new crypto threat, but both giants hit back

Justin VargheseYour Money Editor

Justin is a personal finance author and seasoned business journalist with over a decade of experience. He makes it his mission to break down complex financial topics and make them clear, relatable, and relevant—helping everyday readers navigate today’s economy with confidence. Before returning to his Middle Eastern roots, where he was born and raised, Justin worked as a Business Correspondent at Reuters, reporting on equities and economic trends across both the Middle East and Asia-Pacific regions.