One small step for Visa, one giant leap for crypto

Visa officially announced on Monday that it is using the Ethereum network for USDC stablecoin payment settlement. This development means that Visa has become the first major payment network to use stablecoin as a settlement currency.

Visa CEO Alfred Kelly said the company's goal is to cover Bitcoin and other cryptocurrencies and stablecoins, and hopes to launch USDC settlement capabilities for more partners in the next year. Previously, Visa's standard settlement process required Crypto.com to settle in fiat currency, which increased the company's operating costs and business complexity. After this business improvement, Crypto.com will settle directly with Visa in USDC. Visa's Chief Product Officer Jack Forestell said, "This improvement is an important milestone in addressing the needs of fintech companies to manage their business with stablecoins or cryptocurrencies, and it is also an extension of our business as the times develops. It has always been our mission to securely complete payments in all different currencies around the world."

Kris Marszalek, co-founder and CEO of Crypto.com, also said that the company hopes to enable millions of consumers around the world to obtain and use digital currencies, and Visa's huge payment network will help empower digital currencies.

Visa USDC’s settlement agent is crypto bank Anchorage, which means Crypto.com sends USDC to Visa’s Ethereum wallet address at Anchorage.

Diogo Mónica, co-founder and president of Anchorage, said, “Visa discussed with us in 2019 about using the Anchorage custody platform to custody funds and enable secure, efficient and seamless settlement of digital currencies. This will enable the next generation of crypto-native issuers to choose to settle digital currencies directly with Visa on the public blockchain.”

Visa's new service is a "small step" for its settlement platform, but a "big step" for integrating digital assets.

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