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Visa partners with WeFi to enable direct stablecoin spending from self-custody wallets on Visa\u2019s network, bypassing exchanges and pressuring banks\u2019 FX roles.<\/p>\n
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Visa\u2019s new partnership with WeFi is designed to make stablecoin balances in self\u2011custody wallets spendable anywhere Visa is accepted<\/a>, without users first moving funds through centralized exchanges or bank accounts. WeFi describes itself as a \u201cde\u2011bank\u201d and \u201con\u2011chain bank,\u201d offering both self\u2011custody and custodial wallets plus card rails, and now tying those directly into Visa so that stablecoin funding and fiat settlement happen behind the scenes while the front\u2011end looks like a normal card payment.<\/p>\n According to a report from Yahoo Finance, Visa and WeFi will \u201cenable users to utilize stablecoin\u2011backed balances through familiar payment options,\u201d a model executives frame as merging \u201con\u2011chain banking\u201d with Visa\u2019s global network. Mathieu Altwegg, Visa\u2019s head of product and solutions for Europe, said the objective is to \u201cconnect new value forms to payment experiences that people are already familiar with, all while adhering to existing regulatory frameworks.\u201d<\/p>\n <\/p>\n The rollout starts in select European, Asian, and Latin American markets, with Visa stressing that the initial focus will be on regulated stablecoins that fit into existing licensing regimes such as Europe\u2019s MiCA. A ChainNess summary of the partnership notes that WeFi plans to offer personal IBANs that \u201ccan be used like traditional bank accounts,\u201d but with stablecoins as the funding layer and Visa as the acceptance network.<\/a><\/p>\n For users, the pitch is simple: hold stablecoins in a self\u2011custody wallet, tap a Visa card or use familiar payment flows, and let the conversion and settlement logic run under the hood at the protocol and network layers. As WeFi\u2019s own marketing puts it, the aim is to \u201cbring stablecoins from theory into real, practical utility,\u201d using Visa as the bridge that gives merchants the same experience and risk profile they\u2019re used to, while users stay on\u2011chain.<\/a><\/a><\/p>\n That model compresses some of the traditional roles of banks in foreign exchange and cross\u2011border settlement. If stablecoin balances can fund card payments directly and settle almost instantly through Visa\u2019s networks, banks risk losing a slice of fee revenue historically tied to slow, account\u2011based FX flows and correspondent banking.<\/p>\nStablecoins plug into Visa without parking on exchanges<\/h2>\n
Banks\u2019 FX and settlement role comes under pressure<\/h2>\n