Visa Deepens Stablecoin Play in Central & Eastern Europe, Middle East, and Africa

Visa is boosting its stablecoin settlement capabilities in the CEMEA region, partnering with Aquanow, a digital asset infrastructure provider. This move aims to facilitate faster, cheaper, and more efficient cross-border transactions.

Key Benefits of the Partnership

• Reduced Costs: Stablecoins offer the potential to significantly lower transaction fees compared to traditional methods.
• Seamless Operations: Visa's technology combined with Aquanow's digital asset network promises a smoother transaction experience.
• Faster Settlement: Stablecoin settlements can be significantly quicker than traditional banking systems.

Visa has been exploring stablecoin settlements since 2023, using USDC in a pilot program. The increased demand from financial institutions for affordable and rapid international transactions is driving this expansion.

Merchant Settlement Agreement

In related news, Visa and Mastercard reached a revised $38 billion settlement with merchants regarding swipe fees. This resolves 20 years of antitrust lawsuits alleging overcharging. The settlement includes:

• A temporary reduction in swipe fees.
• Caps on consumer rates.
• Allowing businesses to surcharge card transactions.

Key Takeaways

• Visa is actively embracing stablecoins to modernize payment flows in the CEMEA region.
• The Aquanow partnership should improve efficiency and reduce costs for cross-border transactions.
• The merchant settlement brings closure to long-standing swipe fee disputes.