Visa Launches Stablecoin Settlement, SRx Health Acquires EMJX
Visa is offering stablecoin settlement for U.S. banks using Circle's USDC while SRx Health enters an agreement to acquire EMJX for a next-generation digital asset treasury platform. Stay up on the crypto news that matters with "Crypto Currents," daily from The Fly.VISA LAUNCHES STABLECOIN SETTLEMENT IN THE U.S.:Visaannounced Tuesday theU.S. issuer and acquirer partners can now settle with Visa in Circle'sUSDC, a fully reserved, dollar-denominated stablecoin. With USDC settlement, issuers can benefit from faster funds movement over blockchains, seven‑day availability and enhanced operational resilience across weekends and holidays, the companies said. Initial banking participants include Cross River Bank and Lead Bank, which have started settling with Visa in USDC over the Solana blockchain. Broader availability in the U.S. is planned through 2026."Visa is expanding stablecoin settlement because our banking partners are not only asking about it - they're preparing to use it," said Rubail Birwadker, Global Head of Growth Products and Strategic Partnerships, Visa. "Financial institutions are looking for faster, programmable settlement options that integrate seamlessly with their existing treasury operations. By bringing USDC settlement to the U.S., Visa is delivering a reliable, bank‑ready capability that improves treasury efficiency while maintaining the security, compliance and resiliency standards our network requires."SRX HEALTH TO ACQUIRE EMJ CRYPTO TECHNOLOGIES:SRx Health Solutionsannounced Tuesday that it hasa digital-asset treasury platform designed as a treasury operating system, applying quantitative models, artificial intelligence, and systematic risk controls to multi-asset digital treasury management. Upon completion of the transaction, Eric Jackson, Founder and CEO of EMJX, is expected to serve as CEO and Chairman of the combined company. The SRx Health Board of Directors has unanimously approved the transaction, which is subject to approval by SRx Health shareholders and other customary closing conditions. Closing is expected during 1Q26.Jackson said, "Every major technology category goes through generational transitions. In digital assets, we believe the next phase is defined by disciplined risk management and multi-asset flexibility rather than single-asset exposure alone. Many digital-asset treasuries today function more like passive markers in the market — they rise and fall with price movements. EMJX is designed to operate more like a vessel with navigation systems, applying quantitative models and AI-enabled risk controls to help manage volatility across market cycles. Our objective is to reinvest capital back into the treasury over time rather than rely on dilution, and to build a transparent, institutional-grade platform with a long-term orientation. Platforms aren't valued on what they hold – they're valued on what they enable."COINBASE PRICE TARGET LOWERED:Mizuho lowered the firm's price target on Coinbasetoon the shares. The firm's survey of over 230 Coinbase and Robinhoodusers indicates strong engagement with the prediction markets. Coinbase and Robinhood users are 9-times more likely to participate in prediction markets versus non-users, the analyst said. Mizuho expects expect Robinhood to see greater medium-term revenue upside, supported by "fresh capital inflows" and a Q4 run-rate of $300M. It trimmed Coinbase's price target to reflect softer than initially expected Q4 trends and lower bitcoin price levels.ANALYST INITIATES HYPERLIQUID TREASURY COMPANIES:Cantor Fitzgerald initiated coverage of Hyperliquid Strategieswith. Hyperliquid Strategies is a Hyperliquid digital asset treasury company and Hyperliquid is a decentralized exchange for trading perpetual futures, built on its own custom layer-1 blockchain, noted the analyst, who sees HYPE, along with other perpetual DEX peers, taking share from centralized exchanges. HYPE DATs are an attractive way to gain exposure to HYPE, which the firm believes to be "one of the most attractive protocols across crypto," the analyst added. Cantor Fitzgerald also initiated coverage of Hyperion DeFiwithBITCOIN HOLDINGS:American Bitcoinreported Tuesday itas of December 14, placing the company among the top 20 publicly traded bitcoin treasury companies by bitcoin holdings. The bitcoin were acquired through a combination of bitcoin mining and strategic purchases and include bitcoin held in custody or pledged for miner purchases under an agreement with BITMAIN."I am incredibly proud of our tremendous growth," said Eric Trump, Chief Strategy Officer. "In just over three months since our Nasdaq listing, we have surged past dozens of companies—with our Bitcoin reserve now exceeding 5,098 BTC—propelling us into the top 20 publicly traded Bitcoin treasury companies and demonstrating the explosive speed and scaling power of our strategy."Hyperscale Dataalso announced Tuesday that its bitcoin treasury, including current holdings and cash allocated to committed purchases of bitcoin,This amount represents approximately 97.5% of the company's market capitalization, based on the company's stock price at the close of trading on December 15. The company remains committed to its long-term goal of accumulating bitcoin equal to 100% of its market capitalization as part of its broader $100M digital asset treasury strategy."Reaching 97.5% of the market capitalization is a significant milestone for the Company," stated Milton Ault III, Executive Chairman. "Despite volatility in the price of Bitcoin, we are focused at accumulating more Bitcoin at lower prices which positions the Company to further capitalize on long-term appreciation of Bitcoin."PRICE ACTION:As of time of writing, bitcoin was trading at $87,931, while ether was trading at $2,953, according to price data from CoinDesk.
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Stablecoins Experience Rapid Growth Amid Skepticism from Visa and Mastercard
- Rapid Market Growth: Stablecoins grew by 49% last year, reaching a total market cap of $250 billion, indicating strong momentum in the cryptocurrency space despite skepticism from traditional payment giants.
- Enhanced Payment Convenience: Operating on blockchain technology, stablecoins offer 24/7 settlement, reducing payment times from days to seconds, which could attract more attention from banks and payment networks amid increasing demand for fast transactions.
- Attractive Yields: Some stablecoins provide appealing yields to consumers, with predictions that nearly $500 billion in bank deposits will flow into stablecoins by 2028, highlighting their potential as a high-yield alternative that could alter consumer saving habits.
- Diverse Market Participants: In addition to Tether and USDC, stablecoins from companies like PayPal and Ripple showcase the diversity and competitiveness of this sector, and while Visa and Mastercard express doubts about demand, support from market participants may drive further development.
Visa and Mastercard Dismiss Stablecoins in Developed Markets
- Stablecoin Market Overview: Currently, there are nine stablecoins with market caps exceeding $1 billion, led by Tether and USDC, which together account for a total market cap of $250 billion, indicating rapid growth in the crypto space, despite Visa and Mastercard's view of a lack of product-market fit in developed markets.
- Limitations of Payment Methods: Executives from Visa and Mastercard stated in earnings calls that consumer demand for stablecoins is limited, believing their usage is primarily confined to cross-border payments, which may hinder broader adoption among retail customers.
- Attractive Yield Appeal: The high yields offered by stablecoins have attracted many investors, with Standard Chartered predicting that nearly $500 billion in bank deposits will flow into stablecoins by 2028, suggesting that stablecoins could serve as a viable alternative to traditional bank deposits with significant market appeal.
- Blockchain Technology Advantages: Stablecoins, operating on blockchain technology, provide 24/7 settlement and payment speeds measured in seconds; although Visa and Mastercard express skepticism, this technological edge may prompt banks and payment networks to reconsider the potential value of stablecoins.
Potential of Buffett's Smaller Holdings
- Holding Overview: As of February 4, Berkshire Hathaway owns $2.7 billion in Visa and $2.2 billion in Mastercard shares, making up 1.5% of its $324 billion portfolio; while this is a small percentage, the dominance of these companies in the payment industry is significant.
- Network Effect Advantage: Visa and Mastercard cards are widely used globally, accepted at over 150 million merchant locations, and their powerful network effects enhance the platform's value, making replication of this model a daunting task and ensuring their competitive edge.
- Strong Financial Performance: Over the past decade, both Visa and Mastercard have achieved double-digit annualized revenue and diluted earnings-per-share growth, and although they have lagged the S&P 500 in the last five years, their growth prospects remain robust, particularly with the ongoing adoption of cashless transactions.
- Valuation and Investment Advice: Despite Visa's price-to-earnings ratio of 30.9 being slightly lower than Mastercard's 32.9, both valuations are still not cheap; investors should keep an eye on these stocks as a solid foundation for their portfolios, even though outsized returns should not be expected.
Buffett's Safe Investments: Visa and Mastercard
- Portfolio Overview: As of February 4, Berkshire Hathaway holds $2.7 billion in Visa shares and $2.2 billion in Mastercard shares, together representing 1.5% of its $324 billion portfolio, indicating the strong positions these companies hold in the payment industry despite their small percentage.
- Network Effect Advantage: With billions of cards in use globally and acceptance at over 150 million merchant locations, Visa and Mastercard benefit from a powerful network effect that enhances the platform's value, making it difficult to replicate and providing investors with stable confidence.
- Robust Financial Performance: Despite ongoing innovations from fintech companies and stablecoins, both Visa and Mastercard have achieved double-digit annualized revenue and diluted earnings-per-share growth over the past decade, underscoring their unshakeable competitive positions and providing peace of mind to shareholders.
- Future Growth Potential: Although both companies have underperformed relative to the S&P 500 over the past five years, their durable growth prospects from the ongoing shift towards cashless transactions suggest they will generate significantly higher revenues and profits in the future, making them a solid foundation for any investment portfolio.
American Express Stock Soars with Successful Premium Strategy
- Outstanding Stock Performance: As of February 5, 2026, American Express's stock has surged 20% over the past six months, doubled in three years, and tripled in five years, showcasing its strong performance in the financial services sector, significantly outpacing rivals Visa and Mastercard.
- Successful Platinum Card Launch: Despite the annual fee increase from $695 to $895, the newly launched Platinum card has been a hit among consumers, with retention rates remaining stable and modest initial incentives for new cardholders, indicating robust demand for premium services.
- Significant Travel Booking Growth: The relaunch of the Platinum card, combined with the travel experience planning app, has driven a 30% year-over-year increase in travel bookings, directly reflecting the heightened engagement of cardholders as noted by CEO Stephen Squeri, further solidifying American Express's position in the luxury market.
- Flexible Strategic Planning: American Express operates without long-term financial goals, instead adapting through five core strategic pillars focusing on premium services, data-driven technology investments, international expansion, and refreshing existing products, ensuring strong returns for shareholders even in challenging economic conditions.
Market Rebound Signals Emerge as PayPal and Others Become Oversold
- PayPal Oversold Status: PayPal's RSI is below 11, with shares plummeting over 24% this week, marking its worst weekly performance ever, primarily due to a weak 2026 profit outlook and CEO replacement, indicating market concerns about its future profitability.
- Coinbase Market Performance: Coinbase has an RSI of about 14, with shares down 25% this week linked to a plunge in Bitcoin prices; however, it regained some ground on Friday, and analysts remain optimistic, expecting the stock to double over the next year, reflecting confidence in digital assets.
- KKR Oversold Risk: KKR's RSI is below 20, with shares tracking down more than 13% this week amid fears that AI could disrupt the application software industry, yet most analysts maintain a buy rating, projecting a 53% increase in stock price over the coming year, showcasing investor confidence in its long-term potential.
- Market Sentiment Volatility: Following significant market swings, many stocks have RSIs below 20, indicating widespread overselling, as investors may be looking for buying opportunities at lower prices, reflecting expectations for a future rebound.
Stablecoins Experience Rapid Growth Amid Skepticism from Visa and Mastercard
- Rapid Market Growth: Stablecoins grew by 49% last year, reaching a total market cap of $250 billion, indicating strong momentum in the cryptocurrency space despite skepticism from traditional payment giants.
- Enhanced Payment Convenience: Operating on blockchain technology, stablecoins offer 24/7 settlement, reducing payment times from days to seconds, which could attract more attention from banks and payment networks amid increasing demand for fast transactions.
- Attractive Yields: Some stablecoins provide appealing yields to consumers, with predictions that nearly $500 billion in bank deposits will flow into stablecoins by 2028, highlighting their potential as a high-yield alternative that could alter consumer saving habits.
- Diverse Market Participants: In addition to Tether and USDC, stablecoins from companies like PayPal and Ripple showcase the diversity and competitiveness of this sector, and while Visa and Mastercard express doubts about demand, support from market participants may drive further development.
Visa and Mastercard Dismiss Stablecoins in Developed Markets
- Stablecoin Market Overview: Currently, there are nine stablecoins with market caps exceeding $1 billion, led by Tether and USDC, which together account for a total market cap of $250 billion, indicating rapid growth in the crypto space, despite Visa and Mastercard's view of a lack of product-market fit in developed markets.
- Limitations of Payment Methods: Executives from Visa and Mastercard stated in earnings calls that consumer demand for stablecoins is limited, believing their usage is primarily confined to cross-border payments, which may hinder broader adoption among retail customers.
- Attractive Yield Appeal: The high yields offered by stablecoins have attracted many investors, with Standard Chartered predicting that nearly $500 billion in bank deposits will flow into stablecoins by 2028, suggesting that stablecoins could serve as a viable alternative to traditional bank deposits with significant market appeal.
- Blockchain Technology Advantages: Stablecoins, operating on blockchain technology, provide 24/7 settlement and payment speeds measured in seconds; although Visa and Mastercard express skepticism, this technological edge may prompt banks and payment networks to reconsider the potential value of stablecoins.
Potential of Buffett's Smaller Holdings
- Holding Overview: As of February 4, Berkshire Hathaway owns $2.7 billion in Visa and $2.2 billion in Mastercard shares, making up 1.5% of its $324 billion portfolio; while this is a small percentage, the dominance of these companies in the payment industry is significant.
- Network Effect Advantage: Visa and Mastercard cards are widely used globally, accepted at over 150 million merchant locations, and their powerful network effects enhance the platform's value, making replication of this model a daunting task and ensuring their competitive edge.
- Strong Financial Performance: Over the past decade, both Visa and Mastercard have achieved double-digit annualized revenue and diluted earnings-per-share growth, and although they have lagged the S&P 500 in the last five years, their growth prospects remain robust, particularly with the ongoing adoption of cashless transactions.
- Valuation and Investment Advice: Despite Visa's price-to-earnings ratio of 30.9 being slightly lower than Mastercard's 32.9, both valuations are still not cheap; investors should keep an eye on these stocks as a solid foundation for their portfolios, even though outsized returns should not be expected.
Buffett's Safe Investments: Visa and Mastercard
- Portfolio Overview: As of February 4, Berkshire Hathaway holds $2.7 billion in Visa shares and $2.2 billion in Mastercard shares, together representing 1.5% of its $324 billion portfolio, indicating the strong positions these companies hold in the payment industry despite their small percentage.
- Network Effect Advantage: With billions of cards in use globally and acceptance at over 150 million merchant locations, Visa and Mastercard benefit from a powerful network effect that enhances the platform's value, making it difficult to replicate and providing investors with stable confidence.
- Robust Financial Performance: Despite ongoing innovations from fintech companies and stablecoins, both Visa and Mastercard have achieved double-digit annualized revenue and diluted earnings-per-share growth over the past decade, underscoring their unshakeable competitive positions and providing peace of mind to shareholders.
- Future Growth Potential: Although both companies have underperformed relative to the S&P 500 over the past five years, their durable growth prospects from the ongoing shift towards cashless transactions suggest they will generate significantly higher revenues and profits in the future, making them a solid foundation for any investment portfolio.
American Express Stock Soars with Successful Premium Strategy
- Outstanding Stock Performance: As of February 5, 2026, American Express's stock has surged 20% over the past six months, doubled in three years, and tripled in five years, showcasing its strong performance in the financial services sector, significantly outpacing rivals Visa and Mastercard.
- Successful Platinum Card Launch: Despite the annual fee increase from $695 to $895, the newly launched Platinum card has been a hit among consumers, with retention rates remaining stable and modest initial incentives for new cardholders, indicating robust demand for premium services.
- Significant Travel Booking Growth: The relaunch of the Platinum card, combined with the travel experience planning app, has driven a 30% year-over-year increase in travel bookings, directly reflecting the heightened engagement of cardholders as noted by CEO Stephen Squeri, further solidifying American Express's position in the luxury market.
- Flexible Strategic Planning: American Express operates without long-term financial goals, instead adapting through five core strategic pillars focusing on premium services, data-driven technology investments, international expansion, and refreshing existing products, ensuring strong returns for shareholders even in challenging economic conditions.
Market Rebound Signals Emerge as PayPal and Others Become Oversold
- PayPal Oversold Status: PayPal's RSI is below 11, with shares plummeting over 24% this week, marking its worst weekly performance ever, primarily due to a weak 2026 profit outlook and CEO replacement, indicating market concerns about its future profitability.
- Coinbase Market Performance: Coinbase has an RSI of about 14, with shares down 25% this week linked to a plunge in Bitcoin prices; however, it regained some ground on Friday, and analysts remain optimistic, expecting the stock to double over the next year, reflecting confidence in digital assets.
- KKR Oversold Risk: KKR's RSI is below 20, with shares tracking down more than 13% this week amid fears that AI could disrupt the application software industry, yet most analysts maintain a buy rating, projecting a 53% increase in stock price over the coming year, showcasing investor confidence in its long-term potential.
- Market Sentiment Volatility: Following significant market swings, many stocks have RSIs below 20, indicating widespread overselling, as investors may be looking for buying opportunities at lower prices, reflecting expectations for a future rebound.
