Lloyds and Visa Complete $750,000 Stablecoin Settlement Trial

Lloyds and Visa have successfully completed a live pilot using stablecoins to settle $750,000 of payment obligations, marking a significant milestone in the adoption of digital assets in cross-border transactions. The seven-day trial used USDC, purchased through UK-regulated exchange Archax, and demonstrated the ability to transfer funds in under an hour, including over the weekend. This is the first stablecoin settlement trial between Visa and a major UK banking group, according to Lloyds. The pilot dealt with settlement between the financial institutions rather than customer payments, highlighting the potential to reduce traditional cross-border settlement times, which can take a day or more when initiated outside banking hours. Lloyds Head of Digital Assets, Peter Left, noted that this trial allowed them to 'move beyond theory and test these capabilities in a real-world setting.'

Lloyds ran its own node on the Canton Network during the trial, while Visa supported settlement on a separate public blockchain. This pilot follows Visa's addition of five new blockchains to its settlement pilot, bringing the total to nine, including Canton. Visa's stablecoin settlement volume has surpassed a $20 billion annualized run rate, and this trial demonstrates the growing traction of digital assets in cross-border transactions.