Visa: Stablecoins to take on lending, Huma Finance leads
A new report by Visa explains that stablecoins are no longer just for payments and are taking a growing share of the credit markets.
- Stablecoins are playing a growing role in the $40 trillion global credit market, says Visa
- DeFi platforms have issued $670 billion worth of stablecoin loans since 2020
- Currently, there’s $14.8 billion in outstanding loans, with 427,000 loans issued in August alone
- Visa report highlighted Huma finance as one of the standout performers
Stablecoins are no longer just for cross-border payments or crypto trading. On Thursday, October 16, credit card giant Visa published a report detailing the growing role of stablecoins in the on-chain credit market. The report outlines their expanding role in the $40 trillion global credit market.
According to the report , on-chain lending with stablecoins has risen to more than $670 billion in total loans since 2020. That amounts to $51.7 billion in monthly activity, with more than 81,000 active borrowers. Moreover, the stablecoin loan market continues to grow, with DeFi platforms issuing 427,000 loans in August alone. Additionally, total outstanding loans amount to $14.8 billion, with $17.5 billion in total liquidity.
Visa report highlights Huma Finance growth
One of the players that Visa highlighted in its report is Huma Finance, an on-chain lending protocol. It enables short-term, receivables-backed lending using stablecoins, primarily for cross-border payments and working capital.
These short-term loans, with an average duration of 1 to 5 days, are playing an increasing role in cross-border payments. Notably, Huma Finance reached $500 million in transaction volume, which includes loan originations and repayments. The network also has $98 million in actively deployed loans.
Stablecoin use cases are growing in general. After the GENIUS Act created a stable regulatory framework for stablecoins, more companies are joining the industry, which is projected to reach $1 trillion to 4 trillion by 2030.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
Investing in Educational Institutions Emphasizing STEM as an Indicator of Future Workforce Developments
- U.S. higher education sees surging STEM enrollment, driven by workforce shortages and tech demand, with 3.46% of undergrads majoring in computer science/engineering in 2024. - Investors increasingly target STEM-focused institutions, aligning with 10.4% projected job growth by 2030, as K-12 STEM markets expand at 13.7% CAGR fueled by EdTech and private equity. - Persistent diversity gaps (26% women in STEM workforce) and financial strains highlight the need for inclusive programs and industry partnerships
Zcash Halving and Its Potential Impact on Cryptocurrency Market Fluctuations
- Zcash's 2025 halving cut block rewards by 50%, tightening annual inflation to 2%, sparking debates on supply reduction's impact on investor sentiment and institutional adoption. - ZEC surged 1,172% post-halving but faced extreme volatility ($736 to $25.96 in 16 days), driven by speculative trading and liquidity constraints in its $10.3B market cap. - Institutional adoption accelerated with Grayscale's $151.6M investment and Zcash ETF filing, while EU's MiCA regulations challenge privacy coins but Zcash's
ICP Price Jumps 30%: Exploring the Driving Forces and Long-Term Investment Outlook
- ICP token surged 30% in Nov 2025 to $4.71, driven by ICP 2.0 upgrades and institutional partnerships with Microsoft , Google, and SWIFT. - Price retreated to $3.50 by Dec 2025 amid waning AI hype, macroeconomic pressures, and speculative trading volatility. - NVT ratio and DCF analyses highlight valuation challenges, with optimistic 2026 price projections ($11.15–$31.89) contingent on real-world adoption and institutional traction. - Market dynamics reveal a duality: innovative infrastructure potential v
AI and Financial Stability in 2025: The Role of ICP Caffeine AI in Transforming Risk Management Amid Market Uncertainty
- ICP Caffeine AI, DFINITY's blockchain-AI platform, reduces AI inference costs by 20-40% while enabling real-time financial risk analysis through hybrid cloud-decentralized infrastructure. - AI-driven risk tools outperform traditional VaR models by 10% in predictive accuracy, achieving 60% efficiency gains for institutions through real-time data processing and regulatory integration. - Despite $237B TVL and 56% ICP price growth, the platform faces challenges including 22.4% dApp activity decline, token vo
Trending news
MoreCrypto prices
More
