Anchorage Digital Bank adds USDPT to Visa’s network
Anchorage Digital Bank has integrated Western Union’s U.S. Dollar Payment Token (USDPT) into Visa’s settlement network, allowing Visa Inc and its eligible partners to use USDPT for settling obligations on VisaNet. This marks the first time an Anchorage-issued stablecoin is recognized as a native settlement asset on Visa’s platform.
Visa’s statement on the integration
Dan Roesbery, Vice President at Visa, stated that this integration provides partners with an additional settlement option that is backed by a federally chartered bank. Anchorage Digital Bank also issues stablecoins for several other entities, including Tether and Zelle, all of which are fully backed by US dollars and cash equivalents, allowing for one-to-one redemption.
Future plans for stablecoins on VisaNet
The agreement between Visa and Anchorage establishes a framework that may support additional stablecoins issued by Anchorage in the future. Anchorage Digital has also submitted a swap dealer registration application to the National Futures Association (NFA) to seek oversight from the Commodity Futures Trading Commission (CFTC) for its institutional options business. Recently, the bank has faced challenges, including a workforce reduction of 17 percent.
Background on Visa and stablecoin adoption
Visa Inc is a major player in the global payments industry, and its interest in stablecoins reflects a growing trend in the financial sector. A recent report indicated that the intent to adopt US stablecoins has increased from 36 percent to 56 percent among consumers, particularly with the prospect of bank-level protections.
