On-Chain Lending Market Growth - On-chain lending is gaining momentum [1] - Monthly volume reached $51.7 billion by the end of Q3 2025 [1] - Over $670 billion in stablecoin loans originated since 2020 [1] Key Players - Visa and Allium are tracking on-chain lending data [1] - CryptoCom is presenting "Chart of the Day" [1]

Core Insights - The report from Visa and Allium indicates a significant increase in global onchain lending, with monthly volumes reaching $51.7 billion [1] - Since 2020, over $670 billion in stablecoin loans have been originated, highlighting the growth of the digital credit economy [1] Industry Summary - The digital credit economy is experiencing robust growth, as evidenced by the surge in onchain lending volumes [1] - The data suggests a strong trend towards the adoption of stablecoins in lending practices, reflecting a shift in financial behaviors [1]

Core Insights - Visa aims to replicate its success in payments within the decentralized finance (DeFi) sector by establishing a robust lending infrastructure [1][2][3] Group 1: Visa's Strategy and Vision - Visa's report rebrands decentralized finance as "onchain finance," targeting institutional compatibility amid regulatory changes [2] - The company envisions institutions as liquidity providers for programmable lending protocols, leveraging its data and compliance capabilities [3] - Visa's whitepaper indicates a shift from crypto experimentation to a focus on institutional infrastructure, highlighting over $670 billion in stablecoin loans issued since 2020 [4] Group 2: Onchain Credit Market Dynamics - The onchain credit market has evolved, with stablecoins becoming essential for automated credit markets that operate continuously [5] - Examples of functioning stablecoin-based credit systems include Morpho, Credit Coop, and Huma Finance, showcasing diverse applications [6][7] - Visa's approach mirrors traditional finance, focusing on technology without direct exposure to lending risks [7] Group 3: Infrastructure Development - Visa aims to control the infrastructure, including APIs, analytics, and settlement systems, to connect programmable credit with traditional finance [8] - The company does not intend to issue tokens or fund loans directly, instead facilitating connections between crypto projects and traditional finance [8]