Visa and Nium test stablecoin payments under MAS’ BLOOM initiative

They aim to plug weekend settlement gaps for 24/7 payments.

Visa is participating in the Monetary Authority of Singapore’s (MAS) new initiative for payment interoperability between traditional systems and stablecoin-based payment rails.

Under BLOOM (Borderless, Liquid, Open, Online, Multi-Currency), Visa and its first partner in the pilot, Nium, will use stable coins for settlement under bloom.

Visa and Nium will explore how stablecoins can enable settlements to occur seven days a week, including weekends and public holidays. This is expected to reduce delays, improve efficiency, and provide participating financial institutions with faster access to funds.

The pilot will use regulated stable coins backed by major currencies, including US dollar and euro-denominated stable coins, Visa said.

The future of payments will be shaped by how different forms of money and payment networks work together for different use cases, according to Adeline Kim, group country manager for Regional Southeast Asia and SVP, global clients & acquirers, Asia Pacific, Visa.

“Through BLOOM and our pilot with Nium in Singapore, we are exploring how stablecoins can complement existing payment infrastructure, enabling greater flexibility in settlement while preserving the security, resilience and compliance standards that underpin global commerce,” Kim said.