Visa has expanded its use of blockchain technology by allowing U.S. banks to settle transactions using the USDC stablecoin on the Solana network, while consumers continue to use Visa cards as usual.
The move lets U.S. banks settle obligations with Visa through blockchain-based rails, improving settlement speed and flexibility without changing how cardholders pay. Visa said the rollout reflects growing interest from banks in faster, programmable payment systems that operate beyond traditional business hours.
Visa confirmed that U.S. issuing and acquiring banks can now use Circle’s dollar-backed USDC for settlement. This enables seven-day settlement cycles, including weekends and holidays, while existing card and merchant processes remain unchanged.
USDC Settlement Expands to Solana
Visa selected the Solana blockchain to support USDC settlement in the United States, citing its fast transaction speeds and ability to handle large volumes. Cross River Bank and Lead Bank are among the first institutions to begin settling with Visa using USDC on Solana.
The company plans to make the service more widely available to U.S. banks through 2026.
Visa said its stablecoin settlement activity has continued to grow, reaching an annualized run rate of $3.5 billion by late November. The company has already rolled out stablecoin settlement in regions including Latin America, Europe, Asia-Pacific, and the Middle East and Africa.
Banks Push for Faster Settlement
Visa executives said the expansion is driven by practical demand from banks, not experimentation. Rubail Birwadker, Visa’s head of growth products and partnerships, said banking partners are preparing to actively use stablecoin settlement to improve treasury operations.
He noted that financial institutions are seeking faster, programmable settlement options that integrate with existing systems, while maintaining high standards for security, compliance, and reliability.
Seven-day settlement also helps banks and fintech firms manage liquidity more efficiently by reducing delays tied to traditional business-day schedules.
Expanding Blockchain Infrastructure
Alongside the Solana rollout, Visa is strengthening its partnership with Circle by supporting Arc, a new Layer-1 blockchain currently in public testnet. Visa said it plans to operate a validator on the network and explore using Arc for future USDC settlement as blockchain-based payments continue to evolve.
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