Visa has launched USD Coin (USDC) settlement in the United States, marking a major step in its effort to modernize the global payment settlement system.
The move allows U.S. issuer and acquirer partners to settle directly with Visa using Circle’s USDC, a fully reserved, dollar-backed stablecoin.
Experimenting USDC settlement first in 2021, this positive development represents a key milestone in Visa’s stablecoin settlement pilot. Notably, U.S. banking partners can now access blockchain-based settlement without changing the consumer card experience.
With USDC settlement, banks gain faster fund movement, seven-day availability, and improved operational resilience, including during weekends and holidays.
These benefits aim to improve liquidity management while maintaining Visa’s security and compliance standards.
Early Bank Participation and Solana Integration
Visa confirmed that Cross River Bank and Lead Bank are the first U.S. institutions to begin settling transactions in USDC. Both banks are currently using the Solana blockchain, known for its speed and low transaction costs.
Visa plans to expand USDC settlement access across the U.S. market through 2026, signaling long-term commitment to blockchain-based payments.
“Visa is expanding stablecoin settlement because our banking partners are not only asking about it — they’re preparing to use it,” said Rubail Birwadker, Global Head of Growth Products and Strategic Partnerships at Visa.
He added in the press release that “financial institutions are looking for faster, programmable settlement options that integrate seamlessly with their existing treasury operations.”
Birdwadker concluded that “By bringing USDC settlement to the U.S., Visa is delivering a reliable, bank-ready capability that improves treasury efficiency while maintaining the security, compliance and resiliency standards our network requires.”
Visa Partners With Circle on Arc Blockchain
Beyond Solana, Visa revealed it is a design partner for Arc, a new Layer-1 blockchain developed by Circle, currently in public testnet. Arc is purpose-built to support large-scale commercial activity onchain.
Visa plans to use Arc for USDC settlement within its network and will also operate a validator node once the blockchain goes live. This plan further deepens Visa’s involvement in blockchain infrastructure.
Circle emphasized the significance of institutional stablecoin adoption. “Bringing USDC settlement to the U.S. with Visa is a milestone for internet-native money moving at the speed of software,” said Nikhil Chandhok, Circle’s Chief Product and Technology Officer.
“It helps card-issuing financial institutions modernize treasury and unlock new services while retaining the transparency and trust that USDC is known for,” Chandhok added.
Why Stablecoin Settlement Matters
Visa’s U.S. stablecoin framework introduces several improvements, including seven-day settlement windows, automated treasury operations, and interoperability between traditional payment rails and blockchain infrastructure.
The launch builds on Visa’s earlier stablecoin pilots across Latin America, Europe, Asia-Pacific, and other regions. As of November 30, Visa’s stablecoin settlement volume surpassed a $3.5 billion annualized run rate, highlighting growing adoption.
Interestingly, banks already settling transactions with USDC say the benefits are already clear. “Lead Bank is proud to be among the first U.S. banks to enable USDC settlement with Visa. This capability brings speed and precision to treasury operations,” said Jackie Reses, CEO of Lead Bank.
Cross River CEO Gilles Gade added that “a unified platform that supports both stablecoins and traditional payment networks is the foundation for how value will move globally.”
As stablecoins gain institutional traction following the passing of the STABLE Act by the U.S. House committee in October, Visa’s USDC settlement launch positions the payments giant at the center of the next phase of blockchain-powered finance.
Among others, Western Union is on course to launch its USDPT Stablecoin and Digital Asset Network on Solana in 2026.
