Reap, a fintech platform and Visa Principal Issuer Member (VPIM), is preparing to add a Mexican peso stablecoin to its card, cross-border payments and treasury products, its founder told CoinDesk.
Hong Kong-based Reap is exploring tokens pegged to the Hong Kong dollar, the euro, the won and the yen, founder Daren Guo said in an email.
The company is pursuing the expansion through its global stablecoin partnership with Visa, which provides its card programs with around-the-clock settlement.
Reap, which is owned by Kraken parent company Payward, can issue cards on its own bank identification numbers, or BINs, and says it can support partners in more than 100 markets.
“Visa makes stablecoins settle. Reap makes them spendable,” Guo said. “Our recent acquisition by Payward opens up additional capabilities,” including possible access to yield, tokenized equities and trading.”
Public blockchains run continuously, but global foreign exchange (FX) still relies on banking hours, correspondent banks and settlement that can take days. In emerging and cross-border markets, moving money between currency corridors can incur fees of 5% to 7%, Guo said.
Stablecoin payments are overwhelmingly dollar-denominated, nearly 99%, even when the underlying commercial activity occurs in local currencies worldwide.
