Visa Expands Stablecoin Capabilities Through Zerohash Partnership

Visa is expanding its stablecoin payment offerings through an arrangement with crypto infrastructure provider Zerohash, allowing eligible Visa Direct clients to prefund accounts and send payouts using stablecoins.

In an announcement on Wednesday, Zerohash said the new capabilities will be available through Visa Direct, the company's money movement network.

"Unlocking stablecoin use cases at the core network level further accelerates adoption globally," Zerohash founder and CEO Edward Woodford said in a statement.

The integration lets businesses fund Visa Direct accounts with stablecoins before making payments, allowing them to manage liquidity outside traditional banking hours. Recipients can also receive payouts directly in stablecoins rather than local currency.

Launched in 2017, Zerohash provides crypto infrastructure for financial institutions. In March, it applied for a national trust bank charter to expand its custody and settlement business, and in July it helped power Morgan Stanley's rollout of Bitcoin, Ethereum, and Solana trading on E*Trade.

The announcement is the latest move by Visa into the stablecoin industry.

In January, the company partnered with BVNK to pilot stablecoin prefunding and payouts on Visa Direct. In July, it launched the Visa Stablecoin Platform, giving banks and fintechs tools to issue, hold, and transfer stablecoins while integrating them into existing treasury and payment systems.

"Stablecoins are creating new opportunities to make money movement faster and more flexible, particularly for cross-border use cases," Mark Nelsen, Visa's global head of product, said in a statement. "Working with zerohash helps us bring stablecoin capabilities to our clients at scale, in a way that’s reliable and interoperable with the financial systems they already rely on today."