Visa Inc. has partnered with Aquanow to extend stablecoin settlements across Europe, the Middle East, and Africa. This strategic move is designed to modernize payment systems by leveraging stablecoins, such as USDC. The collaboration aims to accelerate the institutional adoption of stablecoins, offering the potential for efficient, round-the-clock transactions and reducing dependencies on traditional banking infrastructure.
Visa and Aquanow Extend USDC Across Key Regions
Visa Inc. is teaming up with Aquanow to expand stablecoin settlement capabilities in Europe, the Middle East, and Africa. This initiative represents a significant step towards modernizing payment systems within these regions.
The collaboration involves Visa integrating with Aquanow's established cryptocurrency infrastructure. This integration will facilitate 365-day settlement processes utilizing the USDC stablecoin.
Visa's $2.5 Billion Run Rate Signals Demand
Visa's expanded stablecoin program has demonstrated a $2.5 billion annualized run rate, a figure that underscores the substantial institutional demand for such solutions. Godfrey Sullivan, a representative involved in the program, has highlighted the potential for reduced reliance on traditional payment rails. He shared insights, stating:
"Our partnership with Aquanow is another key step in modernizing the backend rails of payments, reducing reliance on traditional systems with multiple intermediaries, and preparing institutions for the future of money movement."
The program's ability to support 24/7 settlement suggests the possibility of significant cost and delay reductions, particularly in cross-border Business-to-Business (B2B) payments. The regulatory acceptance of USDC is a foundational element that underpins the security and reliability of these transactions.
2023 USDC Pilot Paves Way for Expansion
Visa's initial USDC pilot in 2023 marked a significant milestone, representing one of the first instances of a major payment network utilizing stablecoins. The current expansion builds directly upon the success and learnings from that foundational pilot program.
Industry experts observe that this trend aligns with the broader global finance landscape, which is increasingly integrating digital assets. Regulated stablecoins, in particular, are gaining traction as a preferred method for institutional settlements.