Visa Turns Up the Heat in Stablecoin Payments: Can Anyone Compete?

Visa Inc. V launched a pilot program allowing instant payouts in USD-backed stablecoins, like USDC, through its Visa Direct platform. The initiative allows creators and gig workers to receive their earnings in digital currency directly to their crypto wallets. By using blockchain technology, Visa aims to make fund transfers faster, simpler and more accessible for the growing digital workforce.This move lets platforms and marketplaces send earnings to users’ crypto wallets instantly, instead of through slower traditional methods. The effort is part of Visa’s broader plan to modernize payment systems by experimenting with blockchain settlement, giving users near real-time access to their funds and enhancing efficiency across digital payment channels.This move represents a significant step in bridging traditional finance and digital currency and streamlining cross-border payouts. By embracing stablecoin payments, Visa is signaling trust in blockchain as a secure and scalable tool for real-world transactions. The pilot could revolutionize how freelancers and digital platforms exchange money, reducing delays, cutting costs and offering greater flexibility in how people access and use their earnings. A broader rollout is expected in the second half of 2026. Platforms participating in the pilot will gain a competitive advantage. This move follows a previous pilot, which enabled businesses to pre-fund payouts using stablecoins. Together, these pilots will help the company penetrate underbanked regions. For Visa, the program helps strengthen its leadership in payment innovation while addressing the growing demand for digital-first financial solutions worldwide.How Are Rivals Positioned in the Stablecoin Race?Mastercard Incorporated MA and American Express Company AXP are also stepping deeper into the stablecoin arena.In April 2025, Mastercard unveiled end-to-end capabilities for stablecoin transactions. It has joined the Global Dollar Network, a Paxos-led stablecoin consortium, which allows Mastercard institutions to mint, redeem and distribute USDG under that network. American Express, meanwhile, partnered with Coinbase on a crypto-linked credit card, which can offer rewards tied to crypto usage. AmEx is taking a more measured approach with stablecoins and blockchain innovation.Visa’s Price Performance, Valuation and EstimatesShares of Visa have gained 7.2% year to date, outperforming the broader industry but underperforming the S&P 500 Index.Visa YTD Price Performance Image Source: Zacks Investment ResearchFrom a valuation standpoint, Visa trades at a forward price-to-earnings ratio of 26.05X, up from the industry average of 20.65. Visa carries a Value Score of C. Image Source: Zacks Investment ResearchThe Zacks Consensus Estimate for Visa’s fiscal 2026 earnings implies an 11.7% rise year over year, followed by 13.3% growth next year. Image Source: Zacks Investment ResearchThe stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.Quantum Computing Stocks Set To SoarArtificial intelligence has already reshaped the investment landscape, and its convergence with quantum computing could lead to the most significant wealth-building opportunities of our time.Today, you have a chance to position your portfolio at the forefront of this technological revolution. In our urgent special report, Beyond AI: The Quantum Leap in Computing Power, you'll discover the little-known stocks we believe will win the quantum computing race and deliver massive gains to early investors.Access the Report Free Now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Mastercard Incorporated (MA): Free Stock Analysis Report Visa Inc. (V): Free Stock Analysis Report American Express Company (AXP): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks