Visa Inc. has officially launched USDC stablecoin settlement in the United States, a move that could redefine how banks and fintechs handle transaction clearing. The announcement marks the next phase of Visa’s global stablecoin settlement program, aimed at modernizing the backbone of its payment network while preserving the consumer card experience.

For the first time, U.S. issuers and acquirers can settle transactions with Visa using Circle’s fully reserved, dollar-backed stablecoin, USDC. Early participants—including Cross River Bank and Lead Bank—have started processing settlements on the Solana blockchain, with broader rollout expected through 2026.

Faster, smarter, and always on

USDC settlement promises several advantages over traditional rails:

• Seven-day availability: Banks can now settle transactions any day of the week, including weekends and holidays, eliminating typical banking downtime.
• Enhanced liquidity and treasury management: API-driven, automated processes allow financial institutions to streamline treasury operations.
• Interoperability: Bridges traditional payment infrastructure with blockchain-based networks, allowing seamless integration without disrupting existing workflows.

Rubail Birwadker, Visa’s Global Head of Growth Products and Strategic Partnerships, emphasized that the move responds directly to demand from banking partners seeking programmable, faster settlement solutions. “Financial institutions are looking for faster, programmable settlement options that integrate seamlessly with their existing treasury operations,” he said.

Circle’s Arc blockchain and next-gen settlement

Visa is also a design partner for Arc, Circle’s Layer 1 blockchain currently in public testnet. Arc is optimized for scalability and performance to handle Visa’s high-volume global operations. Once live, Visa plans to run a validator node and leverage Arc for USDC settlements, further embedding blockchain into its infrastructure.

“This milestone enables internet-native money to move at software speed,” said Nikhil Chandhok, Chief Product and Technology Officer at Circle. “It helps card-issuing institutions modernize treasury and unlock new services while retaining the transparency USDC is known for.”

Building on global stablecoin momentum

Visa has been piloting stablecoin settlement internationally since 2021. Its monthly stablecoin settlement volume recently surpassed a $3.5 billion annualized run rate. Earlier this year, the company expanded support to multiple blockchains and stablecoins, giving partners flexibility in managing VisaNet obligations.

Banks adopting USDC settlement see tangible benefits. Lead Bank highlighted speed and liquidity clarity as key advantages for client operations, while Cross River Bank underscored the importance of integrating blockchain and traditional payment systems to support fintech and crypto innovation.

To guide institutions through the transition, Visa Consulting & Analytics recently launched a Stablecoins Advisory Practice, offering strategic guidance on market fit, implementation, and operational best practices.

With USDC settlement hitting U.S. shores, Visa is staking a clear claim in the evolving stablecoin ecosystem—positioning itself as a bridge between legacy finance and blockchain-powered payments.