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The Visa Direct stablecoin pilot has been launched to test how banks, remittance providers, and financial institutions can use digital assets to streamline international transactions. Announced at SIBOS 2025, the pilot integrates Circle’s USDC and EURC stablecoins, allowing partners to pre-fund cross-border payments and initiate near-instant payouts.
Visa, which processes more than $16 trillion in annual payments, argues that existing cross-border payment systems remain inefficient and capital-intensive.
“Cross-border payments have been stuck in outdated systems for far too long,” said Chris Newkirk, President of Commercial and Money Movement Solutions at Visa. “The Visa Direct stablecoin pilot lays the groundwork for money to move instantly across the world, giving businesses more choice in how they pay.”
By using stablecoins as cash equivalents, Visa aims to reduce the need for banks to lock fiat reserves across multiple settlement corridors. Instead, institutions can pre-fund with USDC or EURC, which Visa treats as liquid assets for initiating payouts.
The Visa Direct stablecoin pilot is designed to unlock working capital while enhancing treasury efficiency. Traditional settlement systems often require banks and payment providers to park capital days in advance, leaving funds idle and exposed to currency fluctuations.
With stablecoin pre-funding, financial institutions can:
Visa revealed it has already processed $225 million in stablecoin volume under earlier trials, though this is still marginal compared to its $16 trillion payments ecosystem. The new pilot, limited to select partners meeting Visa’s compliance and risk criteria, is expected to expand in 2026.
“This pilot is about giving institutions the flexibility to settle faster, with less capital tied up,” Newkirk added.
The Visa Direct stablecoin pilot comes amid a wave of interest in blockchain-based settlement networks. Just a day earlier, Swift announced it was working with Consensys and 30 global banks to build a blockchain platform enabling real-time, round-the-clock cross-border payments.
Industry experts view Visa’s pilot as a pivotal move. Visa has the scale and regulatory footprint to push stablecoins into mainstream finance, said Marcus Hughes, Managing Director at CoinShares. The fact that the Visa Direct stablecoin pilot is being tested with USDC and EURC shows how stablecoins are maturing into serious financial instruments.
Crypto-native firms are also capitalizing on the trend. Stablecoin payments startup RedotPay recently reached unicorn status after a $47 million round led by Coinbase Ventures, while infrastructure provider Bastion raised $14.6 million with backing from Sony, Samsung Next, and Andreessen Horowitz.
The Visa Direct stablecoin pilot highlights growing competition in the cross-border settlement space. While Visa leverages its global network of bank partners, Swift is racing to modernize its own rails with blockchain.
Analysts say the next phase will depend on regulatory clarity. For stablecoins to fulfill their role in global settlements, they need strong compliance and oversight frameworks, said Caroline Malcolm, Head of Policy at Chainalysis. The Visa Direct stablecoin pilot is a promising step, but regulators will be watching closely.
Visa has not disclosed which financial institutions are participating, but insiders expect early adoption from remittance providers and regional banks with heavy cross-border flows. Broader rollout is planned for 2026, contingent on pilot outcomes and regulatory approval.
For crypto investors, the Visa Direct stablecoin pilot demonstrates how established financial giants are increasingly treating stablecoins as legitimate liquidity tools rather than speculative assets. It also signals a shift toward integration of digital assets into traditional finance, with stablecoins bridging fiat and blockchain ecosystems.
If successful, the pilot could accelerate demand for USDC and EURC, strengthen Circle’s market position, and put pressure on central banks and regulators to accelerate their own digital currency initiatives.
This is about more than just faster payments, Hughes of CoinShares said. The Visa Direct stablecoin pilot signals the start of stablecoins being embedded into the pipes of global finance.
