Harvard University recently examined Visa’s Digital FIAT Currency Settlement patent, presenting it as an example of how blockchain technology could transform the movement of money. The academic discussion pointed to Ripple’s XRP and Stellar’s XLM as notable blockchain networks that align with the technical direction outlined in Visa’s patented system. The analysis, which was shared publicly by crypto researcher SMQKE, quickly attracted attention across the digital asset ecosystem and renewed debate around blockchain’s role in mainstream finance.
According to the patent originally filed by Visa in 2020, the proposed system outlines a framework that would allow central banks to convert physical fiat currency into blockchain-based digital representations. The design combines centralized oversight with a distributed ledger and approved participants, aiming to preserve the legal status of fiat money while introducing the efficiency and transparency associated with blockchain systems. Harvard’s review suggested that this hybrid structure reflects a practical approach to modernizing monetary infrastructure rather than replacing existing financial authorities.
Why XRP and Stellar Fit the Framework
In its academic assessment, Harvard identified XRP and XLM as strong examples of blockchain networks that could support the type of system envisioned in Visa’s patent. While the patent itself does not explicitly name any public blockchain, the study evaluated networks based on performance, scalability, and design characteristics. From this perspective, both XRP and Stellar were presented as technologies that closely match the operational needs of digital fiat settlement.
XRP was highlighted for its focus on high-speed transaction settlement and low transaction costs. The XRP Ledger is designed to process transactions within seconds, which makes it suitable for large-scale payment flows, including cross-border transfers. The network also supports decentralized exchange functionality and has been used in various enterprise-grade integrations, factors that strengthen its relevance in institutional payment systems.
Don’t forget: Harvard cited VISA’s Digital FIAT Currency Settlement patent as an example of a blockchain based system that utilizes XRP and XLM. ✅
XRP + XLM 🤝 VISA
Documented.📝👇 https://t.co/0RTsBRl0Ho pic.twitter.com/p27Rcl2rDS
— SMQKE (@SMQKEDQG) January 27, 2026
Stellar, powered by its native token XLM, was discussed as a network optimized for accessibility and remittances. The Stellar protocol emphasizes low-cost transfers and reliable throughput, targeting both individual users and institutional participants. Harvard’s analysis indicated that this focus on inclusion and efficiency makes Stellar a practical candidate for global payment and settlement use cases, particularly in regions where traditional banking infrastructure is limited.
Shifting Perceptions of Digital Assets
Harvard’s decision to spotlight XRP and XLM alongside Visa’s patented system was interpreted as more than a theoretical exercise. The academic framing suggested a broader shift in how cryptocurrencies are perceived by institutions and researchers. Rather than viewing digital assets solely as speculative instruments, the study treated certain blockchain networks as functional infrastructure capable of supporting real-world financial systems.
This recognition was described as lending institutional credibility to blockchain’s role in mainstream finance. Assets that were once considered niche are now being examined within the context of systems designed by global payment leaders such as Visa. The analysis implied that this change in perspective could accelerate collaboration between traditional financial institutions and decentralized networks.
Implications for the Future of Digital Fiat
The academic attention given to Visa’s Digital FIAT Currency Settlement patent underscores growing interest in blockchain-based solutions for digital fiat issuance. As central banks and large enterprises continue to explore digital currency initiatives, networks like XRP and Stellar are increasingly seen as viable foundations due to their scalability and efficiency.
Harvard’s examination marked an important moment in the evolving dialogue around blockchain adoption. By positioning XRP and XLM as practical components within a digital fiat framework, the analysis reinforced the idea that blockchain technology can serve as a bridge between traditional finance and emerging digital currency systems. This perspective points toward a future in which distributed ledgers underpin global payment and settlement infrastructure, enabling seamless interaction between established financial institutions and decentralized networks.