Visa is expanding the role of blockchain-based finance in payments by combining its VisaNet settlement data with on-chain lending mechanisms to help stablecoin-linked card operators secure working capital.
Payment Data Used to Support On-Chain Credit
The new structure is designed to give lenders a clearer view of a card operator’s financial performance by combining traditional payment settlement records with blockchain transaction and repayment data. Under the model, lenders can evaluate a company’s creditworthiness using its actual Visa settlement activity and history of repaying blockchain-based loans.
The arrangement can also provide card operators with daily funding needed to meet settlement obligations to Visa’s payment network. By connecting payment activity with lending infrastructure on blockchain networks, Visa is seeking to expand on-chain finance beyond its traditional concentration in cryptocurrency markets and into real-world payment and settlement operations.
The initiative could allow stablecoin-linked card companies to access working capital based on actual payment performance, potentially reducing their reliance on conventional banking credit lines.
The approach comes after Visa expanded pilot programs across Europe and Asia over the past six months. Those trials explored the use of stablecoin-backed cards in markets where access to reliable funding can be affected by changing liquidity conditions and volatility.
Credit Coop Provides Early Example
Blockchain lending protocol Credit Coop is among the early participants in the initiative. The company worked with Visa to develop a revolving credit facility denominated in stablecoins, with funding supported by card receivables.
Smart contracts are used to automate key parts of the lending process, including loan execution and repayment. According to Visa, Credit Coop has supported more than $2.5 billion in settlement volume through financing arrangements since 2023. The platform has also processed more than 3,000 borrowing transactions and over 9,000 repayments.
Visa reported that participating facilities had recorded no defaults so far, highlighting the potential of combining payment records and blockchain-based repayment data to assess credit risk.
Stablecoin Card Activity Accelerates
The financing initiative comes as Visa’s stablecoin-related payment business continues to expand. By the second quarter of fiscal 2026, more than 160 stablecoin-linked card programs were operating worldwide, while payment volume had increased by roughly 200% compared with the previous year.
Visa’s stablecoin settlement activity has also grown significantly. Annualized settlement volume recently surpassed $20 billion, representing more than a 15-fold increase from the level recorded a year earlier.
The rapid growth is creating demand for funding structures capable of operating continuously alongside blockchain-based payments. Traditional credit arrangements can be challenging for smaller fintech companies because obtaining sufficiently large facilities can involve lengthy reviews and restrictive lending limits.
24-Hour Settlement Could Benefit Smaller Operators
Visa’s new model is intended to address some of those limitations by allowing payment and repayment data to play a greater role in determining access to credit. Smaller card operators could potentially obtain funding that more closely reflects their actual settlement activity rather than depending entirely on conventional lending assessments.
The blockchain-based structure also supports continuous settlement, including weekends, potentially improving liquidity management for companies operating around the clock.
By linking VisaNet payment records with on-chain credit histories, Visa is creating a financing model that connects established payment infrastructure with blockchain-based lending and liquidity.
The development represents a broader shift in how stablecoins may be used within financial infrastructure. Rather than functioning only as a digital payment instrument, stablecoins are increasingly being integrated with lending, settlement and treasury operations.
Visa’s latest initiative therefore places on-chain lending closer to mainstream payment infrastructure, while giving stablecoin-linked card providers another potential source of working capital. If expanded successfully, the model could strengthen liquidity for fintech companies and broaden the practical role of blockchain-based finance in global payments.
The combination of automated smart-contract lending, stablecoin liquidity, and real payment data could provide a faster funding mechanism for emerging payment companies while supporting 24-hour settlement.
