Visa introduced a new platform aimed at making it easier for banks, fintech companies and crypto companies to create products using stablecoins, expanding its push into blockchain-based payments as competition in the sector intensifies.
The company announced on Thursday that it would launch Visa Stablecoin Platform (VSP), an enterprise service that allows institutions to issue, store, transfer and redeem stablecoins through a single system managed by Visa. The platform launched with support for Open USD (OpenUSD), a stablecoin recently introduced by Open Standard, and includes tools to mint and redeem the token along with a wallet infrastructure to manage on-chain assets.
Stablecoins are cryptocurrencies designed to maintain a fixed value, usually pegged to the US dollar. Unlike bitcoin or ether (ETH), are widely used for payments, cross-border transfers and settlements because they combine the speed of blockchain with a relatively stable price.
Visa said the platform provides wallet infrastructure as a service, blockchain connectivity, and security features such as double approval workflows, audit logs, and transfer allow lists. The platform is also integrated with Visa’s existing payments network, allowing financial institutions to incorporate stablecoins into payment, settlement and treasury management products without replacing their existing systems.
