Visa broadens settlements using stablecoins across CEMEA, teams up with Yellow Card.
**Visa and Yellow Card Partner to Revolutionize Payment Infrastructure in CEMEA with Stablecoins**
In a significant move to modernize payment systems, Visa has entered into a strategic partnership with Yellow Card, a leading pan-African cryptocurrency exchange and payments platform. This collaboration aims to expand Visa's stablecoin settlement solutions across the Central and Eastern Europe, Middle East, and Africa (CEMEA) region, with a particular focus on Africa.
The partnership between Visa and Yellow Card is designed to integrate stablecoins into Visa's existing Visa Direct payment platform. Stablecoins are cryptocurrencies pegged to traditional currencies like the US dollar, enabling real-time cross-border payments with settlements occurring in seconds instead of days, significantly improving speed and efficiency.
One of the key benefits of this collaboration is the potential for cost reduction. By leveraging blockchain technology and stablecoins, Visa and Yellow Card aim to reduce cross-border payment costs by up to 80%. This is a significant improvement compared to traditional payments in Africa, which often have fees ranging from 6-10% due to intermediaries and currency conversion delays.
The partnership also facilitates businesses and individuals in the CEMEA region holding U.S. dollars via stablecoins, providing immediate access to liquidity and seamless 24/7 settlement capabilities, even on weekends and holidays. This supports broader financial inclusion and operational efficiency in emerging markets.
Yellow Card plans to debut a stablecoin product with Visa in at least one African country before the end of 2025. The pilot will serve as a blueprint for scaling across the continent, especially in markets where Yellow Card is licensed and has strong local expertise.
Visa's partnership with Yellow Card also provides the company with a deep understanding of local market dynamics and regulatory environments, enabling smoother compliance, lowering market entry barriers, and accelerating the adoption of stablecoin-based payment solutions in CEMEA.
This collaboration leverages Visa’s global payment network and Yellow Card’s regional fintech expertise to drive the adoption of stablecoins, enhance transaction efficiency, and promote financial inclusion across emerging markets in Central and Eastern Europe, the Middle East, and Africa.
The Visa-Yellow Card partnership is a strategic move to create a faster, cheaper, more secure, and transparent cross-border payment ecosystem. By extending its stablecoin service from card issuers to merchant acquirers, Visa aims to integrate blockchain technology into traditional payment infrastructure. This partnership is a significant step towards the future of money movement, building a bridge between traditional finance and the digital age.
- The Visa-Yellow Card partnership is designed to integrate stablecoins into Visa's payment infrastructure, leveraging blockchain technology for faster, cheaper, and more secure cross-border transactions.
- By extending its stablecoin service to merchant acquirers, Visa aims to revolutionize the payment industry in Central and Eastern Europe, Middle East, and Africa, ultimately building a bridge between traditional finance and the digital age.
- With the potential to reduce cross-border payment costs by up to 80%, the collaboration between Visa and Yellow Card could significantly improve the speed and efficiency of transactions in the stablecoins sector, particularly in emerging markets.
