Visa's New Stablecoin Pilot To Transform How Freelancers, Uber Drivers and Global Gig Workers Get Paid

Visa's latest stablecoin integration targets the gig economy. Credit: Tony Sebastian via Pexels

Key Takeaways

Visa is piloting a new fiat-to-stablecoin payout solution. The Visa Direct integration is aimed at global platforms that need to pay users in different countries. The company pitched stablecoin payouts as an ideal solution for freelancers and gig workers.

Visa is piloting a new stablecoin payout solution that lets businesses fund direct transfers with fiat currency.

The firm pitched stablecoin payouts as an ideal solution for digital marketplaces and gig economy platforms that need to pay global workers and businesses.

Stablecoins for the Digital Economy

Global platforms that need to pay users in different countries present one of the most compelling use cases for stablecoins.

Online marketplace operators and gig economy firms are often overlooked as payment companies. Yet payments sit at the heart of the digital platform business model.

From Alibaba to Uber, the most successful platforms have built their own payment systems, collecting money from customers at one end and paying sellers or service providers at the other.

Traditional, interbank payment rails introduce friction for operators moving money across borders. In some cases, payouts can take days or weeks to process.

In contrast, stablecoin payments settle in seconds.

Visa’s Stablecoin Push

Visa’s new stablecoin integration will be available to businesses using the company’s real-time payments network, Visa Direct.

Companies including Uber, Lyft, and Airbnb already use Visa Direct for straight-to-card payouts. Now they will be able to offer recipients the option to be paid in stablecoins as well.

“Launching stablecoin payouts is about enabling truly universal access to money in minutes—not days —for anyone, anywhere in the world,” remarked Chris Newkirk, President for Commercial and Money Movement Solutions at Visa.

“Whether it’s a creator building a digital brand, a business reaching new global markets, or a freelancer working across borders, everyone benefits from faster, more flexible money movement,” he added in a statement shared with CCN.

A Boon For Emerging Markets

Stablecoin payouts arguably make the most sense in emerging markets.

For platform operators, stablecoins offer the promise of more streamlined treasury management and reduced exposure to volatile foreign exchange markets.

On the other side of the equation, recipients gain access to a stable store of value that is highly sought after in the Global South. (Visa’s solution is focused on dollar-backed stablecoins, with USDC mentioned in the announcement.)

In countries with high rates of financial exclusion, stablecoins could also provide new opportunities for unbanked workers.

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