On July 31, Cuy Sheffield, head of the Visa cryptocurrency area, presented a series of updates in the company’s strategy, focused on integrating stablcoins and cryptocurrency networks as part of their vision of digital payments.
«Today we announce a series of updates on how Visa is using stablecoins for enable on-chain settlements through our network », said Sheffield.
The first of the integrations announced is with Paxos, a regulatory license company in the United States that is dedicated to the issuance and custody of digital assets. Sheffield reported that Visa will start using USDGa stablcoin issued by Paxos within the initiative called “The Global Dollar Network” (Global dollar network).
This global network seeks to facilitate the use of digital dollars worldwide through Stablcoins backed by US dollars and issued by regulated entities.
USDG is used as a tool for process payments, remittances and financial operations that are executed directly in public block chains. In addition, from visa They detailed that He also integrated Pyusdthe stablcoin issued by PayPal, as part of this expansion strategy.
By incorporating these stablcoins, visa enables the possibility of executing settlements directly on block chain networks, which introduces a technical alternative to conventional bank channels.
This operation model has the potential to optimize the operational efficiency of technology companies and digital financial services platforms, allowing more agile and less dependent compensation processes of traditional financial infrastructure.
Circle, new networks and the expansion outside the dollar
Another relevant aspect of the statement was that, through the alliance with Circle, the USDC Stablecoin issuing company, one of the most used in the cryptoactive ecosystem, Visa will integrate two new networks: Stellar (XLM) and Avalanche (Avax).
With both networks, Visa may process payments in USDC directly on these networks, expanding the available technological options. Those block chains are added to Ethereum and Solana, already existing In visa infrastructure.
In addition, visa will begin to settle transactions in EURCa stablcoin issued by Circle and backed by euros. This is the first asset not called in dollars that will be used by visa for operations ON-CHAIN Within its system, known as Visanet (Visa Global Payment Processing Network), according to Sheffield.
This approach by visa aims to build a hybrid infrastructure that allows us to process payments both in FÍAT coins as in cryptoactivewithout the need unifying the experience of use.
The decision to expand its network to include stablcoins and block chains about two worlds: that of the traditional economy dominated by centralized financial institutions and that of digital assets backed by decentralized protocols.
In that line, Visa seems to be positioned as an operational bridge between the two environments, contributing to Reduce friction between financial systems that until now worked in parallel.
“Our vision is to be able to interconnect any stablecoin, representing any currency and from any blockchain, with existing Fíat currencies, finding our clients where they are,” Sheffield closed.
These ads are added to other Visa initiatives for the use of Stablecoins. As cryptootics recently reported, an example of this is the recent association with Bridge, a company specialized in Stablecoins, for Allow in several Latin American countries use cards related to USDT.
