On Tuesday, Visa (V) announced its entry into managing blockchain infrastructure by becoming an “anchor validator” node on the Stripe-supported Tempo blockchain. This move marks Visa’s first venture into this domain, having set up and managed the validator node internally after six months of collaboration with Tempo’s engineering team to seamlessly incorporate Visa’s systems into the blockchain, as stated in a press release.
Visa plans to extend its operations by running nodes on additional blockchains subsequent to the integration with Tempo. Previously, it had indicated intentions to join the Canton Network to become a “Super Validator.” Over the past seven years, Visa’s blockchain engineers have concentrated heavily on stablecoins, according to Cuy Sheffield, head of Visa’s crypto team. Currently, their efforts are directed towards facilitating new payment methods, such as machine-to-machine commerce facilitated by AI agents.
“We’ve been integral in designing the infrastructure supporting a variety of innovative payment flows, particularly those involving AI agents,” Sheffield shared with CoinDesk during an interview. “Tempo, which also receives backing from Paradigm, recently launched its Machine Payments Protocol (MPP). This protocol enables software and AI agents to autonomously pay for services.” Sheffield added, “Visa’s involvement in MPP has been significant; we developed the MPP card specification and introduced Visa CLI, a wallet that leverages MPP allowing agents to utilize Visa cards for transactions. Thus, our deep engagement with Tempo and its ecosystem extends now to running its foundational infrastructure.”
Stripe’s dedication to building a comprehensive blockchain-based system for stablecoin payments is apparent. However, some might question the openness and decentralization of such a system. Sheffield responded by emphasizing Visa’s practical approach, focusing on products that boost payment volumes.
“We believe decentralization exists along a spectrum,” Sheffield commented. “In many cases, pursuing decentralization without purpose does not address actual problems. We are now in an era where the crypto industry prioritizes speed, efficiency, and programmability over mere decentralization to enhance existing payment infrastructures for specific applications.”
Stripe entered the stablecoin sector by acquiring Bridge, a specialist in stablecoins, for $1.1 billion in 2024. Similarly, Mastercard acquired BVNK, another stablecoin firm, for $1.8 billion earlier this year.
When questioned about Visa’s potential plans to launch its own stablecoin, Sheffield remarked: “It’s still early days, and regulations are not fully established yet. We’ve engaged extensively with the OCC (Office of the Comptroller of the Currency) and other entities. There are various roles Visa can fulfill, but we always aim to collaborate closely with our clients and network.”