Visa has begun allowing eligible partners to settle obligations on its VisaNet network using USDPT, the US dollar-backed stablecoin launched by Western Union earlier this year, under a new partnership with Anchorage Digital announced on Thursday. The token is issued by Anchorage Digital Bank, a federally chartered crypto bank, and is the first Anchorage-issued stablecoin to be accepted as a settlement asset on Visa’s network.
The move links one of the world’s largest card networks with one of the oldest names in cross-border money transfer through a regulated stablecoin issuer. It also marks a further step in Visa’s effort to offer banks and fintech companies alternatives to traditional bank wires when they settle card transactions.
Visa and Anchorage said they would also put in place a process for reviewing other bank-issued stablecoins for future settlement on VisaNet, although no timeline was given, according to reports by PYMNTS and CoinGape.
Key Takeaways
- Eligible Visa partners can now settle with Visa using Western Union’s USDPT stablecoin.
- USDPT is issued and held in custody by Anchorage Digital Bank and runs on the Solana blockchain.
- Visa says its annualised stablecoin settlement run rate has passed $20bn, more than 15 times the level a year earlier.
- Expected volumes, participating institutions and financial terms of the arrangement were not disclosed.
How the Settlement Arrangement Works
Under the arrangement, Visa clients and partners that meet eligibility requirements can use USDPT to meet their settlement obligations to Visa, instead of relying solely on conventional fiat transfers. The stablecoin is redeemable one-for-one for US dollars and is issued and held in custody by Anchorage Digital Bank, according to FinanceFeeds.
Western Union introduced USDPT in May 2026 on the Solana blockchain as part of a broader push into digital assets. The company has also launched a consumer-facing Stablecard product that lets customers hold the token and spend it through Visa’s channels, which is separate from the institutional settlement deal announced this week.
Dan Roesbery, a Visa executive responsible for crypto partnerships, said the expansion was designed to give partners more choice in how they settle with the network, according to PYMNTS. Nathan McCauley, chief executive of Anchorage Digital, said institutional adoption would require regulated infrastructure alongside faster payment rails.
Visa Builds Its Stablecoin Network
The announcement adds to a series of stablecoin initiatives at Visa during 2026. The company reported in September that the annualised run rate of its stablecoin settlement volume had exceeded $20bn, representing growth of more than fifteenfold from a year earlier.
In October, Visa moved stablecoin-based prefunding for its Visa Direct payouts service into commercial use, allowing businesses to fund outgoing payments with digital dollars. The latest step extends the network’s settlement options beyond the stablecoins it already supports, and creates a route for other regulated issuers to apply.
The shift is part of a wider move by large financial institutions into tokenised money. Earlier this year, Citigroup was among the lenders exploring stablecoin custody as part of a broader digital asset strategy, while other global banks have expanded services for institutional crypto clients.
Anchorage Positions as Settlement Bank
For Anchorage Digital, the agreement supports an ambition to act as a settlement bank for stablecoins at institutional scale, combining token issuance with custody and settlement infrastructure. Anchorage said on Thursday that some of its federally chartered stablecoins were now eligible settlement assets, with USDPT the first to be supported.
The firm already issues or supports several institutional stablecoins linked to Tether, Ethena Labs, OSL Group and Zelle, according to FinanceFeeds and CoinGape. Any of these could, in principle, be put forward under the review framework agreed with Visa, although neither company has said which tokens might follow.
Bank-issued and bank-held stablecoins are increasingly seen by payment networks as a way to address the regulatory and counterparty concerns that have slowed institutional adoption. Moves such as Standard Chartered’s expansion of institutional crypto trading point to similar demand from corporate clients for regulated access to digital assets.
Market Backdrop and Open Questions
The announcement comes against a volatile backdrop for digital assets. Bitcoin and other major tokens have fallen sharply in recent weeks, following an earlier sell-off in which a wave of liquidations hit crypto and fintech stocks. Stablecoins, which are designed to hold a fixed value against the dollar, have nonetheless continued to attract interest from payment companies and banks.
Several details of the Visa arrangement remain unclear. The companies have not disclosed which blockchains will process USDPT settlement, how many institutions are eligible, the volumes expected or the commercial terms.
Looking ahead, attention is likely to turn to how quickly other regulated issuers seek approval under the new review process, and whether settlement volumes in USDPT grow beyond Western Union’s own network. Further updates on stablecoin settlement are expected as Visa and its partners report on adoption in the coming quarters, while the broader fintech sector watches for clearer rules on bank-issued digital dollars.
