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Visa Launches USDC Settlement on Solana for US Banks
Published on 2025-12-17. This article is for informational purposes only.
Key Points
- Visa has launched USDC settlement for US banks on the Solana blockchain.
- Cross River Bank and Lead Bank are the first US participants in Visa's stablecoin settlement program.
- Visa crypto settlements have reached a $3.5 billion annualized run rate as of December 2025.
- Banks can now settle transactions 7 days a week using USDC on Solana, including weekends and holidays.
- Visa is also partnering with Circle as a design partner for the upcoming Arc blockchain.
- Broader US rollout expected through 2026 following the passage of the GENIUS Act.
Visa Brings Stablecoin Settlement to US Banks
Visa has officially launched USDC settlement for US financial institutions, marking a major expansion of the payments giant's blockchain and stablecoin initiatives. The service allows US banks to settle Visa transactions using Circle's USDC on the Solana blockchain.
This is the first time US issuers and acquirers can settle Visa obligations in a stablecoin. Cross River Bank and Lead Bank are the initial participants, with broader availability expected across the US in 2026.
"Visa is expanding stablecoin settlement because our banking partners are not only asking for it—they're preparing to use it," said Rubail Birwadker, Visa's Global Head of Growth Products and Strategic Partnerships.
Why Visa Chose Solana for USDC Settlement
Solana serves as Visa's primary network for stablecoin settlement in the US. The Solana blockchain offers the infrastructure needed for high-volume payment processing.
- Speed Sub-second transaction finality for near-instant settlement
- Low fees Minimal transaction costs compared to Ethereum mainnet
- Scalability High throughput to handle Visa's transaction volumes
- Mature infrastructure Established DeFi ecosystem and institutional adoption
- USDC liquidity Deep USDC liquidity on Solana for seamless conversions
Visa first experimented with USDC settlement in 2021 and expanded to Solana in 2024 for cross-border payment testing. The network's performance made it the natural choice for the US rollout.
Benefits of Visa Stablecoin Settlement
Visa's USDC settlement on Solana delivers several advantages over traditional payment rails:
- 24/7 settlement Banks can settle transactions 7 days a week, including weekends and holidays. No more waiting for Monday.
- Faster finality Transactions settle in seconds on Solana versus days on traditional rails.
- Improved liquidity management Real-time settlement means better cash flow visibility and treasury operations.
- Programmable payments Stablecoin infrastructure enables automated, smart contract-based payment flows.
- Interoperability Bridges legacy banking systems with blockchain infrastructure.
For consumers, nothing changes. Card transactions work the same way. The stablecoin settlement happens on the backend between Visa and its banking partners.
Visa Stablecoin Volume Hits $3.5 Billion
Visa's stablecoin settlement program has reached a $3.5 billion annualized run rate as of November 30, 2025. This volume comes from pilots running across Latin America, Europe, Asia Pacific, and other regions since 2023.
The US launch significantly expands the addressable market. With regulatory clarity from the GENIUS Act (passed July 2025), Visa expects domestic stablecoin volumes to grow substantially through 2026.
"Financial institutions are looking for faster, programmable settlement options that integrate seamlessly with their existing treasury operations," Birwadker said. The demand from banks drove Visa's decision to accelerate the US rollout.
Visa Partners with Circle on Arc Blockchain
Visa is deepening its partnership with Circle, the issuer of USDC. Beyond using USDC on Solana, Visa is serving as a lead design partner for Circle's upcoming Arc blockchain.
Arc is a new Layer 1 blockchain built specifically for stablecoin payments and commercial activity. The Arc testnet launched in October 2025 with participation from major firms including BlackRock and Goldman Sachs.
When Arc goes live, Visa plans to support USDC settlement on the network and operate a validator node. This positions Visa as infrastructure for the next generation of stablecoin payments.
Visa Stablecoin Networks and Supported Assets
Visa's stablecoin settlement infrastructure now spans multiple blockchains and assets:
Supported Blockchains
- Solana Primary network for US USDC settlement
- Ethereum Supported for global stablecoin settlements
- Stellar Enterprise payment network integration
- Avalanche High-speed settlement option
- Arc (upcoming) Circle's purpose-built stablecoin blockchain
Supported Stablecoins
- USDC Circle's USD-pegged stablecoin
- EURC Circle's Euro-pegged stablecoin
- PYUSD PayPal's USD stablecoin
- USDG Global Dollar Network stablecoin
Visa Blockchain Timeline
- 2021 Visa begins experimenting with USDC settlement
- 2023 First formal stablecoin settlement pilots launch globally
- 2024 Visa expands to Solana for cross-border payment testing
- July 2025 GENIUS Act passes, providing US regulatory clarity for stablecoins
- October 2025 Visa announces support for multiple stablecoins across Ethereum, Solana, Stellar, Avalanche
- November 2025 Visa pilots USDC payouts for US creators and gig workers
- December 2025 Visa launches USDC settlement for US banks on Solana
- 2026 Broader US rollout and Arc blockchain integration expected
What Visa on Solana Means for Crypto
Visa's decision to use Solana for US stablecoin settlement is a major validation for the network. It signals that Solana's infrastructure is ready for institutional-scale payment processing.
For the broader crypto industry, this represents a bridge between traditional finance and blockchain. Visa processes billions of transactions annually. Bringing that volume on-chain—even partially—creates real demand for stablecoins and blockchain infrastructure.
Other major financial institutions are watching. JPMorgan and State Street have already launched tokenized solutions on Solana. Visa's move adds momentum to institutional blockchain adoption.
Visa Solana FAQ
What is Visa's stablecoin settlement?
Visa stablecoin settlement allows banks to settle Visa transaction obligations using USDC on Solana instead of traditional fiat rails.
Why did Visa choose Solana?
Solana offers fast transaction speeds, low fees, and high throughput—critical requirements for Visa's payment volumes. The network also has deep USDC liquidity.
Which banks are using Visa USDC settlement?
Cross River Bank and Lead Bank are the first US participants. Visa plans broader availability through 2026.
Does this affect how I use my Visa card?
No. Consumer card transactions work exactly the same. The stablecoin settlement happens on the backend between Visa and its banking partners.
What is Circle's Arc blockchain?
Arc is a Layer 1 blockchain being built by Circle specifically for stablecoin payments. Visa is a design partner and will operate a validator node.
How much volume does Visa process in stablecoins?
Visa's stablecoin settlements reached a $3.5 billion annualized run rate as of November 2025, based on global pilot programs.
What is the GENIUS Act?
The GENIUS Act is US federal legislation passed in July 2025 that establishes regulatory guidelines for stablecoin issuers. It enabled Visa's US stablecoin settlement rollout.
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