Visa Expands Into On-Chain Finance With New Stablecoin Strategy

Visa Inc. released the report “Stablecoins: Beyond Payments – The On-Chain Lending Opportunity” on October 16, 2025, highlighting a strategic shift towards institutional-grade infrastructure in decentralized finance.

This transition reflects Visa’s effort to integrate banks into programmable lending, potentially attracting significant institutional capital and reshaping the decentralized finance landscape.

Visa’s On-Chain Strategy to Attract Trillions in Capital

Visa’s report “Stablecoins: Beyond Payments – The On-Chain Lending Opportunity” clarifies its pivot from cryptocurrency experiments to developing institutional infrastructure for “on-chain finance.” Visa views providing data, compliance, and infrastructure services as critical steps in this transition.

The community anticipates Visa’s involvement will attract significant institutional capital, reshaping the DeFi lending landscape. By 2025, this shift could see on-chain finance loan volumes peak as Visa’s infrastructure becomes integral to institutional strategies, reflecting its traditional role in fiat payments.

“We’re committed to helping institutions safely access and leverage blockchain-based financial services as they evolve.” — Cuy Sheffield, Head of Crypto, Visa

While official comments were scarce, stakeholders like Cuy Sheffield have noted Visa’s focus on enabling safe institutional blockchain adoption. The GENIUS Act is seen as a strong regulatory foundation facilitating this evolution.

Stablecoin Market Insights Amid Visa’s Entry

Did you know? The stablecoin market rebounded significantly after centralized lenders’ failures in 2022–2024, highlighting Visa’s strategic timing in tapping the “on-chain finance” sector.

USDC, priced at $1.00, maintains a market cap of $76.00 billion and dominates 2.07% of the market. Its trading volume reached $21.43 billion over 24 hours, as per CoinMarketCap data.

Insights from the Coincu research team suggest Visa’s infrastructure focus could drive stablecoin adoption and utilization among institutions, potentially leading to increased economic activity and regulatory clarity, benefitting the overall DeFi ecosystem.