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VISA making efforts to introduce cryptocurrencies

written by Bella Palmer
cryptocurrencies

The payment giant is known for introducing cryptocurrencies into its own network, mainly through collaboration with exchanges and cryptocurrency-related startups

CEO of payment giant Visa, Alfred Kelly, talked about what crypto assets mean for the credit card business in an interview program “Leadeship Next” of major US business media Fortune.

VISA is known for actively introducing cryptocurrencies into its own network, mainly through collaboration with numerous exchanges and cryptocurrency-related startups.

Kelly first categorizes cryptocurrencies into two categories: “more speculative assets” and “digital currencies.” He said that the former’s representative asset is Bitcoin (BTC), which he calls digital gold, and the latter means fiat-backed digital currency, or stable coins.

Kelly commented that the latter digital currency is likely to be a new payment method, especially in emerging markets. He added that he is currently partnering with about 35 companies on crypto-related projects. In that case, the VISA card will play a role in “converting” stable coins into fiat currency, making it available at 70 million locations around the world.

Originally, when asked if one of the roles of cryptocurrencies was to enable transactions between the parties, eliminating intermediaries like VISA and lowering fees, Kelly said today. He mentioned that the business content of the company is changing.

Visa’s business was previously centred on providing a means of selling and purchasing goods and services, but now it’s centred around “moving money globally,” Kelly said. Therefore, it is unknown whether cryptocurrencies will become the mainstream of payments in the future, but it is important for VISA to be at the centre of all the flow of funds at this time, and it will be beneficial in the future by arranging in related fields. He said he would be more likely to receive it.

He added that Visa is well prepared for future possibilities and can be said to be a good start.

As Kelly said in an interview, VISA is already making various efforts to introduce cryptocurrencies.

For example, various virtual currency companies such as Coinbase of major US exchanges, Paxful of P2P exchanges, wallet provider ZenGo, etc. issue VISA cards, but BlockFi, which provides virtual currency lending service, is the card payment amount. We will issue a VISA card where 1.5% will be returned in Bitcoin.

In addition, the issuance of a VISA card compatible with the dollar-denominated stable coin USDC issued by the US virtual currency company Circle has also been announced. It is said that it will establish a mechanism to use USDC for corporate transactions by more than 60 million companies.

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