Visa is working on a blockchain interoperability hub for crypto payments

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Global payments giant Visa presented a project that aims to be a universal blockchain adapter that can connect multiple cryptocurrencies, stablecoins as well as central bank digital currencies (CBDCs).

According to an official announcement Thursday, the Visas research team is working on a Universal Payment Channel (UPC) initiative, a blockchain interoperability hub connecting multiple blockchain networks and enabling digital asset transfers from different protocols and wallets.

Imagine sharing the check with your friends, when everyone at the table is using a different type of money, some using CBDC like Swedens eKrona, and others preferring a private stablecoin like USDC, Visa wrote, adding that such tool may well be a reality in the not-so-distant future with the UPC project.

Developed by Visa’s research and product teams, the UPC project is designed to establish dedicated payment channels between different blockchain networks, connecting CBDC networks between countries as well as connecting CBDCs with private stablecoin networks. .

Visa’s research team began working on the UPC concept in 2018, developing an interoperability framework that would work independently of the underlying blockchain mechanisms.

Related: Microsoft Secures US Patent for Ledger Independent Token Service

Ultimately, the UPC solution aims to serve as a network of blockchain networks adding value to multiple forms of money movement, whether they originate from the Visa network or beyond, the announcement says.

One of the largest payments companies in the world, Visa made a big leap into the crypto industry in 2020, partnering with blockchain company Circle to support the stablecoin USD Coin (USDC) on some credit cards. The company has since reaffirmed its commitment to crypto payments and fiat ramps, with a particular focus on stable integrations.

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