Stablecoins push into traditional payment networks as firms race to expand the market [Crypto Briefing]

[Financial News] Global payment infrastructure and e-commerce companies are accelerating experiments to integrate stablecoins into existing financial networks. Visa has decided to expand its stablecoin-linked card services to around 100 countries worldwide, while in Korea, Coupang’s fintech subsidiary Coupang Pay has begun reviewing a related business. Observers say these moves are aimed at supplementing traditional payment networks, which rely on multiple intermediaries, and at securing a first-mover advantage in low-cost, high-speed, blockchain-based settlement systems.
According to industry sources on the 9th, global payment technology company Visa plans to expand its partnership with the stablecoin infrastructure platform Bridge. Through this, it will grow its stablecoin-linked Visa card program from the current 18 countries to more than 100 countries, including in Europe, Asia-Pacific, Africa and the Middle East, by the end of the year.
The core of this collaboration is blockchain-based, or on-chain, settlement. Users of global crypto wallet services such as MetaMask will be able to spend their stablecoins at 175 million Visa merchants worldwide. In addition, as U.S.-based Lead Bank joins Visa’s pilot program for stablecoin settlement, some transactions can now be settled in stablecoins before being converted into fiat currency.
Visa cites structural limitations in existing payment networks as the main reason for adopting stablecoins. Moon Jang-hyun, head of products and solutions at Visa Korea, explained, “Traditional cross-border remittances must pass through multiple correspondent banks, which slows down transactions and adds fees. On top of that, we have long struggled with ‘liquidity lockups,’ where funds get stuck over weekends and holidays.” He added, “Because stablecoins run on blockchains that operate 24 hours a day, they allow funds to move instantly at any time, resolving these issues.” Moon went on to say, “Our goal is to help companies adopt stablecoin-based treasury operations without having to completely overhaul their existing settlement systems.”
Ripple has also expanded its Ripple Payments offering, strengthening its strategy for a digital asset-based payment platform that includes its own stablecoin, Ripple USD (RLUSD). After acquiring Palisade and Rail to secure custody and virtual account collection capabilities, Ripple now provides collection and payout services that cover both fiat currencies and stablecoins in more than 60 markets worldwide.
In line with these overseas trends, Korean e-commerce company Coupang is also moving quickly. Coupang Pay recently posted a job opening for in-house legal counsel that lists “review of services and business structures related to the issuance, use and distribution of stablecoins” as a key responsibility. Because the role emphasizes responding to financial regulation and turning new regulatory frameworks into business opportunities, many see this as a step toward potential commercialization of stablecoin-based payment and remittance services.
The growth of the stablecoin market is evident in the data. According to analysis by Samsung Securities, fourth-quarter revenue last year at USD Coin (USDC) issuer Circle Internet Financial surged 77% year-on-year to 770 million dollars. The circulation of USDC has climbed to 75 billion dollars, up more than 70% over the year. Income from managing reserve assets accounts for a large share of earnings, underpinning the profitability of the stablecoin business.
However, regulatory uncertainty in the United States remains a key variable. A draft bill is under discussion that would define the respective jurisdictions of the U.S. Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC) and include provisions banning interest payments on stablecoins. Kim Ji-won, a researcher at KB Securities, noted, “The SEC has submitted guidance to The White House on applying securities laws to digital assets, reflecting efforts to clarify regulatory authority.” Kim added, “Debate over whether stablecoins can pay yield has delayed review of the related Digital Asset Market Clarity Act (CLARITY Act), and this remains a major uncertainty for the sector.”
elikim@fnnews.com Kim Mi-hee Reporter