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Visa joins stablecoin consortium led by Paxos

Tuesday 15 April 2025 14:55 CET | News

Visa has taken a step forward to become a member of the Global Dollar Network (USDG), a stablecoin initiative launched by US-regulated digital asset firm Paxos.

 

The consortium also includes several companies active in the cryptocurrency and financial technology sectors, such as Robinhood, Kraken, Galaxy Digital, Anchorage Digital, Bullish, and Nuvei, according to individuals with knowledge of the matter cited by Coindesk.com. 

The move marks the first known involvement of a major traditional financial services provider in the consortium. While details remain limited, Visa’s participation signals a continuation of its broader engagement with digital asset infrastructure and crypto-related initiatives.

 

Visa has taken a step forward to become a member of the Global Dollar Network (USDG), a stablecoin initiative launched by US-regulated digital asset firm Paxos.

 

Stablecoin model aims to offer shared Yield 

USDG differs from dominant stablecoins such as Tether (USDT) and Circle’s USD Coin (USDC) in its proposed revenue model. Instead of centralising the yield generated from reserves, USDG intends to distribute interest income among participating firms that contribute to network liquidity and integration. 

The stablecoin sector has drawn increased interest from both fintech companies and financial institutions amid shifting regulatory dynamics and growing commercial opportunity. Despite this, Tether and Circle continue to lead the space in terms of issuance volume. 

This is not Visa’s first step into crypto partnerships. The firm was recently linked to Sam Altman’s Worldcoin initiative. As detailed by CoinDesk, which cited a person familiar with the matter, the move aimed to bring Visa card capabilities to World Network wallets, including a suite of fintech and FX applications, and fiat on and off-ramps, while also enabling stablecoin-based payments to merchants that are part of Visa’s network. According to the same sources, Tools of Humanity, the company co-founded by Open AI’s CEO Sam Altman that manages Worldcoin and World Network, send out a request for product forms to card issuers. 

Mastercard has also pursued collaborations, including with the decentralised wallet provider MetaMask.


Source: Link


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Keywords: cryptocurrency, stablecoin, partnership, expansion
Categories: Banking & Fintech
Companies: Paxos, Visa
Countries: United States
This article is part of category

Banking & Fintech

Paxos

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Visa

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