Rain Funds Daily Visa Settlement With an Onchain Credit Line
Every card program owes Visa its settlement amount on the day, and collects from cardholders afterwards. The money covering the days in between has to come from somewhere. Visa has now published where it comes from for a set of stablecoin-linked programs, with the numbers attached.
Scale first. Visa counted more than 160 stablecoin-linked card programs live on its network in its fiscal second quarter, payment volume on those programs up nearly 200% year over year, and stablecoin settlement volume past a $20 billion annualised run rate.
Warehouse lines do not fit a program that settles every day
The instruments that normally fund this gap, warehouse lines and securitisation, are built for portfolios at scale, and Visa says most of the largest programs on the network are financed exactly that way. What breaks at the small end is the shape of the borrowing rather than the idea. A stablecoin program settles seven days a week, weekends and holidays included, and a first-year program might need a few million dollars drawn and repaid on a daily cycle, secured against receivables it has only just started generating. The fixed cost of documenting a facility does not amortise over that, and there is no performance history to underwrite against.
Repayment is enforced by a contract sitting in front of the operating account
The answer Credit Coop built with Visa is a stablecoin-denominated revolving facility that funds the daily Visa settlement obligation and takes the settlement receivables themselves as security. Receivables pass through a smart contract called Spigot before they reach the program's operating account, and repayment is routed out of incoming proceeds automatically. Visa's own comparison is a lockbox under a deposit account control agreement: the same senior claim, enforced in code rather than by manual sweeps.
The second piece is data. With each program's authorisation, Credit Coop receives that program's daily Visa settlement files directly, and sizes the facility, disbursements and repayment checks against them. Visa says borrowing costs for participating programs have come down by as much as 30% as more lenders grew comfortable underwriting the structure.
Rain has drawn and repaid on this line since August 2023
The worked example is Rain, a Visa Principal Member whose BIN sits under several separately branded cards. Rain draws to cover the daily settlement file, the funds move to the Visa settlement address, and cardholder payments flow back through the Spigot, servicing interest and refilling the line. Visa's figures: approximately $2 billion of settlement volume financed since August 2023, more than 2,000 borrow events and 7,000 repayment events onchain, $1.58 million and up in interest paid, and zero defaults. Repayments outnumber draws because one draw covers settlement across many cardholders while repayments arrive in batches.
Karta shows what a track record buys. It launched and scaled on a Credit Coop facility while its performance record was still being built, and in June 2026 announced $140 million: a $15 million Series A led by Galaxy Ventures and a $125 million institutional credit facility from Community Investment Management. Moto and Xplace run on the same infrastructure under the same BIN.
Several card brands share one settlement line
That is the part worth carrying into a card comparison. Rain, Moto, Xplace and Karta present as different products with different fee tables, and one settlement financing arrangement sits behind all of them. Splitting balances across two of them diversifies the front end and not that layer.
Rain reaches wider than those four names. Avalanche Card is issued by Rain Liquidity LLC, Ethena Pay Card is issued by Third National with card program management by Rain, and Jupiter Card is issued by Rain or DCS depending on where the holder lives. Issuance and program management are a separate question from which credit line funds a daily settlement obligation, so those three do not belong inside the figures above. What they show is something else: how many separately branded cards rest on one company's Visa membership.
Zero defaults across $2 billion is also a statement about the lender being repaid, not about what happens to a cardholder balance. Those are governed by each program's own terms and by who holds the float, which a financing structure does not address either way.
The next step Visa describes is just-in-time funding: the daily settlement file triggers a same-day disbursement for exactly the net amount owed, so capital is deployed for hours rather than days. For a program that lowers the cost of carrying the float. For a cardholder the effect is indirect and shows up mostly by its absence, because settlement working capital is one of the reasons a small program can launch at all, and one of the quieter reasons one stops.
Sources: Visa: Financing the next hundred stablecoin-linked card programs, X trigger.
Related cards
Rain Card
→Corporate Visa card program from Rain with physical and virtual cards, stablecoin-backed settlement, spend controls, Apple Pay and Google Pay support, and business verification required.
Karta Card
→Ethereum virtual card from Karta that supports USDT, USDC and requires kyc.