Visa Pilots Stablecoin Payments for Global Transfers

Visa has launched a pilot program that uses stablecoins for cross-border payments, aiming to unlock liquidity and modernize international money movement.

Visa is taking another step into the digital asset space, unveiling a new pilot program that allows businesses to fund cross-border payments with stablecoins. The initiative, announced on September 30, is powered by Visa Direct, the company’s real-time payments platform, and is designed to reduce the inefficiencies of legacy systems that force institutions to tie up capital in dormant accounts around the globe.

Visa’s push to modernize cross-border transactions

For decades, cross-border payments have relied on correspondent banking networks that require institutions to maintain balances in local currencies. This approach ensures payout capability but leaves significant amounts of capital trapped. Visa’s pilot aims to resolve this by allowing participants to pre-fund stablecoins, which Visa then treats as equivalent to cash for payouts.

Chris Newkirk, Visa’s president for commercial & money movement solutions, underscored the significance of the shift:

“Cross-border payments have been stuck in outdated systems for far too long. Visa Direct’s new stablecoins integration lays the groundwork for money to move instantly across the world, giving businesses more choice in how they pay.”

The move comes at a time when regulatory clarity in the United States has boosted confidence in stablecoins, particularly after the passage of the GENIUS Act, which set clear compliance standards for issuers. That framework has reduced uncertainty for large institutions considering digital token adoption.

How the stablecoin pilot works

Visa has not disclosed its pilot partners but confirmed that the program will remain limited until April 2026, when it expects to expand availability. The initiative is aimed at banks, remittance providers, and other financial institutions.

Key features of the pilot include:

Stablecoin pre-funding: Instead of depositing fiat currencies into local accounts, participants fund Visa Direct with stablecoins to cover payouts.
Liquidity unlocked: This eliminates the need for idle fiat reserves, allowing businesses to keep more capital in circulation.
Faster treasury operations: Stablecoins settle in minutes rather than days, making liquidity management more dynamic.
Stability and predictability: By reducing exposure to local currency fluctuations, stablecoins provide a more consistent settlement layer.

Visa said the pilot is designed to serve institutions that need greater flexibility and speed in managing global liquidity, particularly those handling frequent international payouts.

A growing stablecoin market

Visa’s pilot comes amid rapid growth in the stablecoin sector. Industry data shows the market has surged to roughly $269 billion, up 62% in the past year. Forecasts suggest that figure could climb to $2 trillion within three years if adoption continues at its current pace.

This expansion has drawn attention—and concern—from regulators and banks. Critics warn that stablecoins could disrupt traditional payment systems. Yet Visa’s approach highlights a different strategy: rather than resisting, established financial players are beginning to integrate stablecoin rails into their infrastructure.

Visa’s head of crypto, Cuy Sheffield, said the company views stablecoins as part of the future of global payments, not a threat. His team has already scaled settlement capabilities and built partnerships across banking and fintech sectors. The company has processed over $200 million in cumulative stablecoin settlement volume to date.

Building bridges between finance and blockchain

Visa is not new to blockchain initiatives. In 2024, it launched the Visa Tokenized Asset Platform, which enables institutions to issue and manage blockchain-based tokens. Spanish bank BBVA has since announced plans to launch its own stablecoin through the platform, signaling how Visa’s infrastructure is opening doors for traditional finance to enter the token economy.

These developments align with Sheffield’s broader vision of convergence between traditional payments and digital assets. By embedding stablecoins into Visa Direct, the company is attempting to position itself as both a competitor in efficiency and a bridge linking banks, fintech firms, and blockchain networks.

Why this matters

Visa’s stablecoin pilot reflects several industry-shaping trends:

Institutional adoption is accelerating thanks to regulatory clarity.
Stablecoins are evolving from niche crypto tools into mainstream settlement layers.
Financial incumbents are moving from resistance to integration, treating blockchain as an upgrade rather than a rival.

If successful, Visa’s initiative could reshape how liquidity is managed across borders, freeing billions in trapped capital while offering faster, more predictable settlement for global commerce.

As cross-border payment volumes continue to rise, the question is no longer whether stablecoins will influence the global financial system, but how quickly they will be absorbed into its core. Bitcoin — explored in our guide on what is Bitcoin — remains the foundation of this digital economy, while stablecoins are emerging as a complementary layer for faster and more predictable transactions. Visa’s pilot underscores that the world’s largest payment networks now view them as an essential part of the future.