📰 Why is Visa in such a hurry to advance funds for USDC? What does this move really mean for stablecoins?
Visa has announced the launch of a prefunding feature for the U.S. dollar stablecoin USDC, with Inyo Global the first to use the service. Put simply, Visa can now advance funds to users without waiting for USDC to actually arrive from the bank, enabling cross-border transfers around the clock. This is good news for USDC, signaling that its role in the banking system is becoming increasingly important.
Why does this matter?
This move addresses a longstanding problem with stablecoin transactions: bank transfers are too slow. Previously, when transferring USDC, you had to wait for the bank to complete the transfer before the funds arrived—a process that could take two to three days. Now Visa can advance the funds directly, saving a lot of time. This means stablecoins are evolving from purely payment tools into something closer to cash. As the industry develops, this marks deeper growth in the stablecoin ecosystem—it’s no coincidence.
Impact on the market
In the short term, this news could slightly increase demand for USDC. In the long term, however, the impact on BTC and ETH is more likely to be indirect. BTC and ETH are stores of value, while USDC is a medium of exchange. If USDC continues to gain traction in payments, it could divert some demand from ETH, since ETH can be used not only for transactions but also for DeFi. But this impact may take months or even longer to emerge. Historically, similar developments—for example, Mastercard also began supporting USDC last year—did not immediately drive up the prices of BTC or ETH.
💡 Put simply, this is a positive for USDC, but it may not be a short-term catalyst for BTC and ETH. If sweeping regulatory crackdowns emerge in the future, this thesis could be disproven.
This article was not sponsored by any project, and the author does not hold any of the assets mentioned.
$BTC $ETH #BTC #ETH
⚠️ This is not investment advice. Predictions are for reference only.
#RegularCollaboration
Visa has announced the launch of a prefunding feature for the U.S. dollar stablecoin USDC, with Inyo Global the first to use the service. Put simply, Visa can now advance funds to users without waiting for USDC to actually arrive from the bank, enabling cross-border transfers around the clock. This is good news for USDC, signaling that its role in the banking system is becoming increasingly important.
Why does this matter?
This move addresses a longstanding problem with stablecoin transactions: bank transfers are too slow. Previously, when transferring USDC, you had to wait for the bank to complete the transfer before the funds arrived—a process that could take two to three days. Now Visa can advance the funds directly, saving a lot of time. This means stablecoins are evolving from purely payment tools into something closer to cash. As the industry develops, this marks deeper growth in the stablecoin ecosystem—it’s no coincidence.
Impact on the market
In the short term, this news could slightly increase demand for USDC. In the long term, however, the impact on BTC and ETH is more likely to be indirect. BTC and ETH are stores of value, while USDC is a medium of exchange. If USDC continues to gain traction in payments, it could divert some demand from ETH, since ETH can be used not only for transactions but also for DeFi. But this impact may take months or even longer to emerge. Historically, similar developments—for example, Mastercard also began supporting USDC last year—did not immediately drive up the prices of BTC or ETH.
💡 Put simply, this is a positive for USDC, but it may not be a short-term catalyst for BTC and ETH. If sweeping regulatory crackdowns emerge in the future, this thesis could be disproven.
This article was not sponsored by any project, and the author does not hold any of the assets mentioned.
$BTC $ETH #BTC #ETH
⚠️ This is not investment advice. Predictions are for reference only.
#RegularCollaboration