Visa, one of the world’s largest payments companies, announced a project that aspires to be a network of blockchains, cryptocurrencies, stablecoins, and central bank digital currencies (CBDC).
Visa’s research team is working on a “Universal Payment Channel” (UPC) initiative, a blockchain interoperability hub connecting numerous blockchain networks and enabling transfers of digital assets from different protocols and wallets, according to an official announcement made on Thursday.
“Imagine splitting the check with your friends when everyone at the table is using a different type of money — some using CBDC like Sweden’s eKrona, and others preferring a private stablecoin like USDC,” Visa wrote, adding that such a tool “might be a reality” in the “not-too-distant future” with the UPC project.
The UPC project, which was developed by Visa’s research and product teams, aims to provide dedicated payment channels between different blockchain networks, connect CBDC networks across nations, and connect CBDCs with private stablecoin networks.
The Visa research team began researching the UPC concept in 2018, with the goal of creating an interoperability framework that would run independently of the underlying blockchain processes.
The UPC solution “ultimately intends to function as a network of blockchain networks,” according to the statement, “adding value to numerous types of money flow, whether they originate on the Visa network or beyond.”
Visa, one of the world’s leading payment corporations, entered the crypto space in 2020, teaming with blockchain firm Circle to support the USD Coin (USDC) stablecoin on select credit cards.
Since then, the company has reinforced its commitment to crypto payments and fiat on-ramps, with an emphasis on stablecoin integrations in particular.
