Visa says fraud protection and deposit insurance could boost US stablecoin use

Visa says a survey found that stablecoin adoption intent could rise from 36% to 56% with bank-level fraud protection and deposit insurance. The survey covered more than 2,000 US consumers. Respondents were seeking faster and more affordable ways to send money to family and friends overseas. Nearly two-thirds of respondents said trust depends more on the provider than the technology. Willingness to use stablecoins rises from 36% to 45% when an existing financial institution offers them. Traditional banks receive 61% trust for digital currency services. Global payment networks receive 60% trust. More than half of Americans have never heard of dollar-pegged crypto assets. Those respondents believe stablecoin prices fluctuate like Bitcoin. The survey found that 36% of respondents had encountered cross-border payment scams. The study found that 44% worry about AI deepfakes impersonating family members. The study found that 24% had received AI-generated scam messages that appeared real. About one in five senders reduce their own spending to support family abroad. Vira Platonova, Global Head of Visa Direct, said remittances fund education, essentials and investment back home. Platonova said providers that work hardest to earn trust will win the industry's future. Visa's report says stablecoins are not currently covered by deposit insurance such as FDIC coverage. The protection scenarios in the study are hypothetical.