Visa (V) Stock; Slides 5% on Stablecoin Initiative Across US and Markets

TLDRs;

• Visa is piloting stablecoin payouts through a partnership with BVNK, enabling businesses to distribute digital dollars directly to recipients’ wallets.
• U.S. banks are beginning to settle transactions using USDC on the Solana blockchain, allowing faster transfers and seven-day settlement windows.
• The GENIUS Act leaves stablecoin settlement oversight unclear, creating concerns about banks’ capital requirements and operational risks.
• Payment processors and custodians are exploring ways to integrate and provide compliance solutions for Visa’s expanding stablecoin ecosystem.

Visa Inc. (NYSE: V) saw its stock decline nearly 5% today as investors reacted to the company’s growing footprint in stablecoin payments. The firm recently announced a partnership with BVNK, a global provider of stablecoin infrastructure, to pilot stablecoin payouts through Visa Direct, its money movement network.

Visa Inc., V

Under this initiative, select business clients can pre-fund and distribute payouts in digital dollars rather than traditional currencies. The move is designed to expand payment options for Visa Direct users, allowing faster and more flexible transfers to recipients’ wallets.

US Banks Begin Settling with USDC via Solana

In addition to the BVNK pilot, Visa has started enabling U.S. banks to settle transactions using USDC, a dollar-backed stablecoin, over the Solana blockchain. Early adopters, including Cross River Bank and Lead Bank, are participating in this initiative, with broader adoption expected in 2026.

Visa reported an annualized stablecoin settlement run rate exceeding $3.5 billion as of November 2025. The blockchain-based settlements aim to provide faster transfers and seven-day settlement windows for banks, while maintaining the traditional consumer card experience.

Regulatory Questions Cloud Expansion Plans

Despite the progress, Visa’s stablecoin initiatives face regulatory uncertainty. The proposed GENIUS Act establishes rules for payment stablecoins with 100% reserves but does not clarify oversight for settlements. Federal Reserve officials, including the Richmond Fed, have urged banks to consult supervisors as regulatory guidance is still being developed.

Banks like Cross River and Lead Bank using USDC on Solana effectively test how the Federal Reserve and FDIC will treat balance sheets, capital, and operational risk for on-chain settlements. To help banks navigate these challenges, Visa has launched a Stablecoins Advisory Practice aimed at supporting compliant growth of its digital asset services.

Vendors and Banks Eye Stablecoin Opportunities

Visa’s move has sparked interest across the financial ecosystem. Payment processors, gateways, and custodians are exploring how to support issuer and acquirer banks that lack internal stablecoin infrastructure. U.S. Bank, selected to custody reserves for Anchorage Digital Bank’s payment stablecoins, exemplifies the growing demand for secure and compliant settlement solutions.

The $3.5 billion settlement run rate demonstrates a strong market opportunity. Early movers who integrate Visa’s compliance, treasury, and technical requirements can position themselves to serve the expanding digital payments ecosystem before the full 2026 rollout.

Visa’s stablecoin push represents both a significant opportunity and short-term investor caution. With regulatory clarity still evolving and blockchain adoption in its early stages, the company is navigating uncharted waters in the emerging stablecoin economy.

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