Visa Launches Global Stablecoins Advisory Practice for Banks - The Institutional Floodgates Are Opening
Visa just dropped a bomb on the traditional finance world. The payments giant is launching a global advisory practice dedicated to stablecoins—and it's aimed squarely at the world's biggest banks.
### From Skeptic to Sherpa
This isn't just another fintech pilot. It's a full-scale consultancy built to guide legacy financial institutions through the regulatory and technical minefield of digital currency integration. Think of it as a corporate concierge service for the crypto-curious C-suite.
Visa’s move signals a tectonic shift. When a pillar of the global payments infrastructure starts building bridges to stablecoins, it’s not exploring—it’s preparing for mass adoption. The subtext is clear: the asset class is moving from the fringe to the core of financial plumbing.
### The New Compliance Playbook
The advisory arm will likely focus on the unsexy but critical stuff: regulatory navigation, treasury management for digital assets, and interoperability with existing rails. It’s the necessary groundwork that lets banks play in the space without getting fined into oblivion.
For banks, the calculus is simple. Ignore stablecoins and risk disintermediation; adopt them and potentially streamline cross-border settlements, unlock new revenue streams, and placate clients demanding modern treasury tools. The choice is becoming increasingly obvious.
### A Cynical Take on Motives
Let’s be real—this is also a brilliant defensive move. By positioning itself as the essential guide, Visa ensures it remains the toll collector on the new digital highways being built, even if those highways bypass some of its old checkpoints. It’s the financial equivalent of selling shovels during a gold rush, with a healthy side of managing the claim disputes.
The launch isn’t just an advisory service; it’s a market signal. Institutional hesitancy is being replaced by structured strategy. The dam is breaking, and the water is looking remarkably stable.
Capitalizing on stablecoin market growth
The launch of the practice takes place as the stablecoin market has grown substantially, with a total market capitalization of $318.5 billion. Visa noted an incline in settlement volume using stablecoins, with an annualized rate of $3.5 billion as of November 30.
This development marks an expansion of Visa’s efforts to incorporate stablecoins and blockchain technology into more advanced payment systems. Visa started testing stablecoin payments using USDC in 2023 and was among the first major payment systems to do so. It now facilitates over 130 card issuing programs linked to stablecoins in over 40 countries.
Some institutions have already placed their involvement in this practice. According to Matt Freeman, Senior Vice President of Navy Federal Credit Union, this practice holds a benefit for them when he stated, “Putting our members first has always been our mission, and we’re committed to exploring innovations that strengthen financial health and convenience for those we serve.”
He added, “Stablecoins may represent an opportunity to enhance speed and lower cost in payments, so with the support of Visa, we are evaluating how this technology could fit into our broader strategy to deliver meaningful value to our 15 million members worldwide.”
Visa’s role in the advisory
Anthony Sharett, President of Pathward, emphasized another distinct asset offered by the advisory service: “Visa Consulting & Analytics brings together Visa’s scale, expertise and specialized consultants to offer a unique service, and Pathward appreciates the invitation to be one of the first banks to explore this work with them. Stablecoins could provide innovative solutions for the financial services sector, and Visa’s team delivered impressive work, insights and actionable recommendations for businesses exploring them.”
Lauren Morrison, Vice President of Payments Products at VyStar, also commented on the benefit of consulting focus: “Working with Visa Consulting & Analytics gave VyStar access to Visa’s scale, crypto expertise, and specialized consulting talent… VCA team provided practical insights and tailored recommendations that helped us deepen our understanding of the stablecoin landscape and its potential relevance to our members. This engagement allowed us to explore opportunities thoughtfully and shape an informed strategy.”
Alignment with recent developments
The launch of this advisory service reflects Visa’s expectations of increased participation of stablecoins in commerce and financial services. Through this service, Visa is poised to help clients take advantage of new opportunities offered by stablecoins. The payment giant’s latest advisory practice is in line with a series of major moves to incorporate digital currencies into the global payment sector.
Some of these include a September pilot launch, which allowed financial institutions to transact using stablecoins (USDC/EURC) through Visa Direct in a real-time cross-border payment system in a way that did not take into consideration time zone differences.
A November pilot took this a step further to include direct payments in stablecoins to gig economy workers and content creators. Visa has also increased support for stablecoins in new blockchain platforms, making them exchangeable with over 25 forms of traditional fiat currencies.
These developments indicate Visa’s continuous efforts toward evolving the payment pipeline and utilizing digital currencies for optimizing speed and efficiency in cross-border money flows.
Also Read: RBI Deputy Governor: Crypto & Stablecoins are Threat to Monetary Stability
