Visa backs Open USD with new stablecoin platform as Circle (CRCL) faces fresh competition

Visa introduced a new platform aimed at making it easier for banks, fintech companies and crypto firms to build products using stablecoins, expanding its push into blockchain-based payments as competition in the sector intensifies.

The company announced on Thursday that it was launching the Visa Stablecoin Platform (VSP), an enterprise service that allows institutions to issue, store, transfer and redeem stablecoins through a single Visa-managed system. The platform launched with support for Open USD (OpenUSD), a recently introduced stablecoin from Open Standard, and includes tools for minting and redeeming the token along with wallet infrastructure for managing onchain assets.

Stablecoins are cryptocurrencies designed to maintain a fixed value, typically by being pegged to the U.S. dollar. Unlike bitcoin BTC$64,044.96 or ether (ETH), they are widely used for payments, cross-border transfers and settlement because they combine blockchain’s speed with a relatively stable price.

Visa said the platform provides Wallet-as-a-Service infrastructure, blockchain connectivity and security features such as dual-approval workflows, audit logs and transfer allow lists. The platform is also integrated with Visa’s existing payment network, allowing financial institutions to incorporate stablecoins into treasury management, settlement and payment products without replacing their existing systems.