Visa reports over 160 stablecoin-linked card programmes now operate on its network, with payment volumes surging nearly 200 percent year-over-year in its fiscal second quarter. However, rapid growth has created a critical working-capital gap: operators must fund daily Visa settlements before receiving cardholder payments, straining traditional financing options.
Credit Coop has addressed this timing mismatch through blockchain-based infrastructure that has financed more than $2.5 billion in cumulative settlement volume since 2023. The platform uses Visa settlement files and on-chain repayment data to underwrite revolving credit lines secured by settlement receivables. Repayment flows through smart contracts that automatically allocate incoming funds toward interest and principal before releasing remaining balances to operators.
The system has processed over 3,000 borrowing events and 9,000 on-chain repayments with zero reported defaults. Rain, a Visa Principal Member, has utilized this structure to fund daily settlement obligations since August 2023, demonstrating the model’s viability at scale.
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FXnCO Insight
** Stablecoin card operators facing liquidity constraints now have proven alternative financing infrastructure that removes settlement funding friction without traditional warehouse credit requirements.
Source: Finance Magnates