Visa has added Monad as a blockchain route for institutional stablecoin settlement, letting participating issuers and acquirers move funds to the payments company when standard bank settlement hours have ended.
Financial institutions can send supported stablecoins over Monad to pay amounts they owe Visa. The transfers can happen on weekends and holidays, so settlement does not have to wait for the next bank processing window. The option settles institutional obligations to Visa; it does not fund cardholders’ purchases at merchants.
Visa’s settlement program overall had reached a $25 billion annualized run rate by Oct. 27, 10 times its pace a year earlier. An annualized run rate projects a recent pace of activity over a year. The figure covers Visa’s full program and does not show how much settlement took place on Monad.
Category Labs is developing Monad’s Private Settlement, a feature designed to give institutions more control over who can see transaction details while preserving review by authorized parties. Category Labs has not released the feature, leaving it unavailable to institutions using this settlement option.
The Monad settlement option is separate from stablecoin prefunding for eligible Visa Direct payouts. EconoTimes previously covered the Visa Direct commercial rollout.
