Visa’s Growing Role in Digital Settlements Earns It the Title ‘Stablecoin of Stablecoins,’ per Mizuho

Visa Emerging as the ‘Stablecoin of Stablecoins,’ Says Mizuho

Visa’s deepening integration with blockchain-based payment systems is positioning it as the central player in global stablecoin infrastructure, according to a new research note from Mizuho Securities.

The Japanese investment bank described Visa (V) as the “stablecoin of stablecoins,” citing its fast-growing network of over 130 stablecoin-linked card programs in more than 40 countries, with spending up nearly fourfold year-over-year.

“Visa’s growing reach and infrastructure give it a dominant role in connecting fragmented stablecoin ecosystems,” analysts Dan Dolev and Alexander Jenkins wrote. “As stablecoins become interchangeable, Visa stands to capture more of the underlying value through its trusted, global network.”

Stablecoins — digital tokens pegged to currencies or commodities — are increasingly used for payments, remittances, and settlement. Tether (USDT) and Circle’s USDC currently lead the sector, while new entrants like PayPal’s PYUSD and sovereign-backed tokens continue to expand use cases.

Mizuho reiterated its outperform rating on Visa shares, maintaining a $425 price target. The stock traded around $343.30, down roughly 1% at the time of publication.

The report credited Visa’s Visa Direct service — growing about 50% annually since 2016 and now representing up to 20% of global debit volume — as a key driver behind its strong positioning in digital asset settlement. The analysts noted the company’s platform now supports four stablecoins: USDG, PYUSD, EURC, and USDC.

Visa’s latest move to let banks issue and redeem their own stablecoins through its tokenized asset network could further entrench its role as the infrastructure layer beneath global crypto payment systems.

“As stablecoins become commoditized, Visa’s role as the coordinating hub — the ‘network of networks’ — becomes increasingly valuable,” the analysts said.

Mizuho’s team also reiterated its underperform rating on Circle (CRCL), assigning an $84 target and noting that the USDC issuer remains overvalued. Circle’s stock fell 3.45% to $131.37 following the note’s release.