Visa introduced an on-chain credit model that combines VisaNet settlement data with blockchain lending infrastructure. The approach aims to help stablecoin-linked card programs and fintechs access working capital.
The model connects payment performance data with on-chain credit markets. Visa says lenders can use this information to assess financing needs while supporting faster and more transparent access to capital.
On-chain lending has expanded rapidly since 2020. Visa’s On-Chain Analytics Dashboard shows that more than USD 694 billion in stablecoin-denominated loans have moved through on-chain lending protocols.
Most of that activity has remained within crypto markets. Visa now aims to connect those lending systems with businesses that depend on payment settlement and working capital.
The company said VisaNet settlement data can give lenders a clearer view of program performance. In turn, this information can support credit decisions and financing structures that match operating needs.
Visa currently supports more than 160 stablecoin-linked card programs across its network. Payment volume on these programs has grown nearly 200% from a year earlier.
Meanwhile, the company’s stablecoin settlement volume has surpassed a USD 20 billion annualized run rate. This figure represents more than a fifteenfold increase from the previous year.
At the same time, emerging payment companies can struggle to secure funding during rapid growth. Traditional lenders often require greater scale, longer operating histories, or manual underwriting before extending credit.
Visa claims that blockchain-based lending can address some of those barriers when lenders also receive trusted settlement data. Smart contracts can automate funding, collateral management, and repayment.
Visa pointed to its work with Credit Coop as an early example. Credit Coop provides working capital and settlement financing for stablecoin-linked card programs through smart contracts. With customer approval, the company combines Visa settlement data with on-chain transaction records. It uses that information to assess credit performance and support automated settlement financing.
Since 2023, the model has supported more than USD 2.5 billion in cumulative financed settlement volume. Participating facilities have recorded zero defaults during that period. The infrastructure has also processed more than 3,000 borrowing events and 9,000 repayment events on-chain. Those transactions create a programmable and auditable financing record.
The initiative also extends Visa’s wider stablecoin strategy, including Visa Stablecoin Platform, stablecoin settlement, expanded card programs, and digital asset services for financial institutions.
Visa views on-chain credit as another connection between traditional payment systems and digital asset infrastructure. The company also sees potential applications across lending, treasury management, and settlement services.
Visa’s on-chain credit model combines settlement data with blockchain lending to help stablecoin-linked card programs and fintechs secure working capital. Credit Coop has financed over USD 2.5 billion since 2023 without defaults, while Visa continues expanding stablecoin settlement and card programs across its network.