Visa, the global leader in payment solutions, has unveiled its ambitious move to further modernize cross-border money transfers by expanding its utilization of stablecoins and integrating the high-performance Solana blockchain into its ecosystem. Collaborating with prominent merchant acquirers Worldpay and Nuvei, Visa is introducing a transformation in the way financial transactions are processed.
Recently, Visa has conducted successful live pilots with issuers and acquirers, facilitating the seamless transfer of millions of USDC tokens across both the Solana and Ethereum blockchain networks to settle fiat-based payments authorized over VisaNet. This milestone reflects Visa’s commitment to utilizing blockchain technology to enhance the efficiency and speed of global payments.
Behind the scenes of every Visa card transaction lies a complex web of fund movements between the customer’s bank (the issuer) and the merchant’s bank (the acquirer). Visa’s treasury and settlement systems play a pivotal role in ensuring the smooth transfer of funds in various currencies between nearly 15,000 financial institutions globally, across more than 25 currencies.
Cuy Sheffield, Visa’s Head of Crypto, expressed the company’s dedication to adopting digital currency and blockchain innovation. Sheffield stated,
“By leveraging stablecoins like USDC and global blockchain networks like Solana and Ethereum, we’re helping to improve the speed of cross-border settlement and providing a modern option for our clients to easily send or receive funds from Visa’s treasury.”
Visa’s integration with Solana blockchain aims to provide faster and cost-effective settlement solutions. Solana offers 400ms block times, 400 TPS (avg.), and over 2,000 TPS during peak demand. Visa’s move positions it as a leader in improving global cross-border payments for consumers and businesses, showcasing its commitment to innovation in the industry.
Recently, in a report by Todayq News on September 4, 2023, the London Stock Exchange Group adopted blockchain technology to enhance the efficiency, transparency, and cost-effectiveness of traditional financial asset transactions, excluding cryptocurrencies. Murray Roos, Head of Capital Markets, confirmed this strategic shift after thorough planning and research.
In a report by Todayq News on July 12, 2023, it was observed that the Government Accountability Office (GAO) believes that blockchain technology could improve Small Business Administration (SBA) programs by enhancing reporting, ensuring secure loans, and tracking business development more efficiently. Blockchain is a secure and transparent transaction recording technology.