Visa Expands Stablecoin Settlement Network Through Aquanow Partnership
Visa Inc. has announced a significant collaboration with the cryptocurrency fintech firm Aquanow, aiming to enhance stablecoin settlement capabilities across Central and Eastern Europe, the Middle East, and Africa (CEMEA). The partnership, revealed on November 27, integrates Visa’s payment infrastructure with Aquanow’s digital asset framework, allowing issuers and acquirers to facilitate transactions using stablecoins like USDC. This advancement is expected to reduce costs and accelerate processes for financial institutions involved in cross-border transactions, streamlining operations considerably.
Understanding the Implications of Visa’s New Partnership
The rollout in the CEMEA region addresses the growing need for continuous settlement options that bypass the delays typically associated with traditional banking systems. Following a pilot program initiated in 2023, Visa’s USDC settlement operations have now reached a remarkable $2.5 billion monthly run rate, underscoring the rapid adoption of stablecoins in mainstream finance. Godfrey Sullivan, Visa’s product head for CEMEA, highlighted this initiative as a modernization of payment systems in the area. Aquanow’s CEO Phil Sham emphasized that this partnership brings enhanced transparency and speed to institutional financial transactions through stablecoin technology.
Significant Developments in Visa and Stablecoin Adoption Throughout 2025
Visa has significantly intensified its stablecoin initiatives in 2025. In September, the company launched a prefund pilot program via Visa Direct, enabling cross-border payments utilizing stablecoins. By November, Visa expanded its offerings to include fiat-to-stablecoin payouts for creators and gig workers, as well as support for various stablecoins such as USDG and PYUSD. Notably, the total supply of stablecoins has surged past $300 billion, nearing $305 billion, despite fluctuations in the broader cryptocurrency market. The dominance of USDT and USDC remains substantial, commanding 60% and 25% of market share, respectively. This growth is bolstered by regulatory developments like the GENIUS Act and MiCA, along with an increasing demand for efficient transfer solutions in emerging markets.
Impact of Stablecoins on Traditional Financial Firms
Traditional financial institutions are reaping the benefits of reduced friction in regions characterized by high cross-border transaction volumes. In fact, stablecoins are now competing with portions of Visa’s transaction volume, amassing an impressive $6 trillion in the first quarter of 2025. This trend aligns with Visa’s ongoing commitment to integrating blockchain technologies, a shift that has been evident since 2020 and is evolving rapidly.
