Mizuho: Visa Poised to Become the ‘Stablecoin of Stablecoins’
Visa’s rapid expansion in blockchain-based payments could make it the backbone of the global stablecoin ecosystem, according to a new note from Japanese investment bank Mizuho Securities.
Mizuho analysts Dan Dolev and Alexander Jenkins said Visa has effectively become the “stablecoin of stablecoins,” citing its scale, infrastructure, and growing influence across digital payments. The company now runs over 130 stablecoin-linked card programs across 40+ countries, with spending up nearly 400% year-over-year.
“Visa’s network reach and trusted reputation allow it to connect fragmented stablecoin systems and capture long-term value as adoption accelerates,” the analysts wrote.
Stablecoins, or digital assets pegged to fiat currencies such as the U.S. dollar, are increasingly used for global payments, settlements, and remittances. Leading issuers include Tether’s USDT, Circle’s USDC, and PayPal’s PYUSD, alongside several central bank–backed projects.
Mizuho maintained an outperform rating on Visa (V) with a $425 price target. Shares traded near $343.30, down 1% on the day.
The report pointed to Visa’s Visa Direct platform — which has expanded around 50% annually since 2016 and now accounts for up to one-fifth of global debit transactions — as the company’s foundation for its stablecoin strategy. Visa now supports USDG, PYUSD, EURC, and USDC across its network.
Mizuho expects Visa to gain further momentum as it allows banks to issue and redeem their own stablecoins via its tokenized asset platform, a move that could centralize settlement activity under Visa’s framework.
“As individual stablecoins become commoditized, networks like Visa will capture the infrastructure premium,” the report said.
The bank also reaffirmed an underperform rating on Circle (CRCL) with an $84 target, warning that the USDC issuer remains overvalued. Circle’s stock slipped 3.45% to $131.37 in Tuesday trading.
