Visa plans to help banks explore smart contracts using blockchain technology and fiat-backed tokens. The digital payments giant has announced a tokenization platform for this, called the Visa Tokenized Asset Platform (VTAP). BBVA plans to launch its own stablecoin in partnership with Visa in 2025.
Visa has launched a new service aimed at helping financial institutions issue and manage fiat-backed tokens.
The company announced a blockchain project called Visa Tokenized Asset Platform (VTAP) on October 3, which will allow partners to create and trial a variety of tokenized assets.
VTAP provides B2B solutions that banks can leverage to integrate blockchain technology and bring fiat currencies on-chain. This business enables the creation of stablecoins and other fiat-backed tokens.
“Visa has been at the forefront of digital payments for nearly 60 years, and with the introduction of VTAP, we are once again setting the pace for the industry,” said Vanessa Corella, Global Head of Innovation and Digital Partnerships at Visa. he said. statement.
BBVA to launch Visa-backed stablecoin
According to Visa, banking giant BBVA plans to use VTAP for its stablecoin project scheduled to launch in 2025.
BBVA explored the VTAP sandbox throughout 2024 and tested core functionality ahead of the stablecoin's live pilot in 2025. The launch will take place on the Ethereum network.
Francisco Maroto, Head of Blockchain and Digital Assets at BBVA, said: “This partnership is an important milestone in exploring the potential of blockchain technology, ultimately expanding banking services and creating new financial solutions. “This will allow us to expand our market.”
VTAP allows banks to leverage stablecoins within smart contracts, allowing them to digitize and automate their workflows. This will also help accelerate the adoption of real-world assets, for example, with banks using this technology to manage complex lines of credit or smart contract-enabled payments.
Bank customers can also purchase tokenized products and government bonds using fiat-backed tokens.
Such products include the Franklin Templeton Fund FOBXX, which the asset manager just expanded into Aptos.
