Visa will allow US institutions to settle transactions using Circle's USDC token over the Solana blockchain. Cuy Sheffield, Head of Crypto at Visa discusses his outlook on this change and how on-chain settlement is already live and growing, with rising demand from global clients using stablecoins. He had the conversation on "Bloomberg Markets" with Scarlet Fu and Tim Stenovec. ...

Core Insights - Tassat Group, Inc. has secured a U.S. patent for its Yield-in-Transit (YIT) technology, enhancing programmable interest-bearing settlement infrastructure [1] - The YIT technology aims to modernize financial transaction systems for regulated institutions and supports Lynq in delivering integrated interest-bearing settlement [1][2] Group 1: Technology and Innovation - The YIT technology facilitates intraday accrual and distribution of on-chain interest, addressing challenges in high-velocity settlement environments [3] - By enabling interest distribution based on the duration assets are held, the YIT model eliminates ambiguity and inefficiencies associated with traditional settlement processes [3][5] - Tassat's patent validates its innovation in tokenization and real-time programmable settlement platforms, potentially transforming capital efficiency for digital asset institutions [4] Group 2: Market Impact and Applications - YIT ensures that liquidity remains productive throughout the settlement process, allowing on-chain assets to generate continuous returns [5] - The technology opens avenues for features like collateral pledging, delivery vs. payment, and stablecoin reserve management [6] - The real-time impact of YIT is being demonstrated within Lynq's institutional network, allowing users to accrue on-chain intraday interest and receive same-day distributions [6][7]

Core Insights - Circle has launched Circle StableFX, an institutional-grade foreign exchange engine for 24/7 stablecoin currency pair trading with on-chain settlement on its Arc blockchain network [1] - The company also introduced Circle Partner Stablecoins to support regional stablecoin deployments, aiming to create a unified infrastructure for global FX activity [1] Group 1: Product Offerings - Circle StableFX is designed to address inefficiencies in the foreign exchange market, which currently operates on fragmented venues and T+1 settlement cycles [2][3] - The platform utilizes a request-for-quote execution model that connects institutions with multiple liquidity providers, offering competitive pricing and low slippage [6] - On-chain settlement in StableFX allows simultaneous payment and delivery, reducing counterparty risk [6] Group 2: Market Performance - Circle reported strong third-quarter performance with $740 million in revenue and reserve income, exceeding analyst forecasts by 66% year over year [4] - The market capitalization of USDC has increased from $61 billion at Circle's June IPO to over $76 billion, although it still lags behind Tether's USDT, which is at $184 billion [5] Group 3: Testnet and Future Plans - The Arc Layer-1 blockchain's public testnet went live with over 100 participants, including major financial institutions like BlackRock and Visa [2] - StableFX is currently available for approved institutions that have completed necessary verifications, ahead of Arc's planned mainnet launch in 2026 [7]

Key Features - GANA_PayFi is building Web3 payment infrastructure with on-chain settlement, fiat on/off-ramps, and real-yield infrastructure [1] - The infrastructure is usable, compliant, and global [1][2]

Core Insights - Citigroup Inc. has entered the stablecoin market by investing in U.K.-based BVNK, anticipating a potential $1.9 trillion market for tokenized dollars [1][2] - The investment was made through Citi Ventures, with BVNK processing over $20 billion in annual transactions for notable clients [2] - The GENIUS Act, effective since July, allows U.S. banks to issue and manage payment stablecoins under Treasury oversight, prompting banks to accelerate their involvement in the regulated stablecoin sector [3][7] Group 1: Market Dynamics - Citi's investment reflects a shift from speculative crypto trading to practical dollar tokenization, with plans for a Citi-branded stablecoin aimed at enhancing global settlement and digital custody services [4] - The in-house research division of Citi has raised its 2030 forecast for stablecoin issuance to $1.9 trillion, indicating significant potential for institutional adoption [5] - Current global stablecoin supply is approximately $289.3 billion, primarily led by Tether (USDT) and USD Coin (USDC) [5] Group 2: Competitive Landscape - Competitors like JPMorgan and Goldman Sachs are also advancing in the stablecoin space, with JPM Coin facilitating billions in daily wholesale transfers and Goldman developing tokenized cash settlement tools [6] - The GENIUS Act is considered a pivotal U.S. financial law for digital assets, formalizing the issuance and supervision of stablecoins by insured depository institutions [7] Group 3: Future Implications - Stablecoins are evolving from mere crypto tools to essential components of global finance, with the potential to become the primary medium for cross-border transactions, challenging traditional systems like SWIFT [9] - The forecasted $1.9 trillion market signifies a transformative shift in how value is exchanged globally among nations, banks, and corporations [9] - If Wall Street embraces this model, stablecoins could transition from a niche application to a foundational element of the financial system [9]

Partnerships & Integrations - Circle is collaborating with Corpay Inc to integrate USDC into its global FX and commercial card rails [1] Key Features of Modern Global Payments - Modern global payments offer 24/7 liquidity [2] - On-chain settlement is a feature of modern global payments [2] - Modern global payments provide familiar payment experiences [2]