Visa to Enable US Institutions to Settle Transactions Using Circle's USDC on Solana Blockchain
Visa will allow US financial institutions to settle transactions using Circle's USDC stablecoin on the Solana blockchain within its US payments network. Initial participants include Cross River Bank and Lead Bank, which will settle USDC transactions over Solana, with broader availability planned through 2026.
Visa is also partnering with Circle as a design partner for Arc, a new Layer 1 blockchain currently in public testnet. Visa intends to use Arc for USDC settlement and plans to operate a validator node once Arc goes live.
This expansion offers seven-day settlement windows, improved liquidity management, and greater automation. It bridges traditional payment rails with blockchain while maintaining Visa's security and compliance standards.
Visa's move builds on earlier stablecoin pilots dating back to 2021 and follows its position as an early major network to settle transactions with a stablecoin in 2023. Circle described this expansion as a milestone for institutional adoption.
Early banking partners highlighted benefits such as clearer liquidity timing and API-driven settlement. Additionally, Visa launched a Stablecoins Advisory Practice via Visa Consulting & Analytics to assist institutions in assessing and implementing stablecoin strategies.
