Western Union’s USDPT Becomes a Settlement Option for Eligible Visa Partners

Anchorage Digital Bank, N.A. announced Thursday that eligible Visa partners can use Western Union’s U.S. Dollar Payment Token (USDPT) to settle VisaNet balances, adding another dollar-backed asset to the network’s settlement options.

Banks that issue cards and payment companies that enroll merchants settle balances through VisaNet, Visa’s payment-processing network. Some partners can already settle those obligations in stablecoins on blockchains Visa supports. USDPT’s addition gives eligible partners another token for those payments.

Anchorage issues USDPT for Western Union. The token is backed by dollars and cash equivalents and can be redeemed one-for-one.

Dan Roesbery, Visa’s vice president for Global Crypto Partnerships & GTM (go-to-market), said the addition gives partners more choice: “As stablecoin payments grow, we’re focused on providing more choice for our partners in how they settle with Visa.”

Visa and Anchorage can also use the relationship to consider support for other Anchorage-issued stablecoins. Separately, Western Union has framed USDPT as a way to make more bank-held funds available for cross-border transfers, as described in its plan to free capital for remittances.