Visa reaffirms interest in cryptocurrencies

Visa reaffirms interest in cryptocurrencies and crypto payments

Stablecoins in particular have piqued the interest of the major payment services provider.

Visa CEO Al Kelly has confirmed during an official press conference for the first quarter of 2021 that the payment service provider will continue Bitcoin System to focus on crypto payments. At the same time, he revealed what Visa’s strategy will be regarding cryptocurrencies.

The payment services provider, which reported total assets of more than $72 billion for 2019, has been increasingly looking towards crypto payment services in recent months. On the one hand, through collaborations for crypto debit cards and on the other hand, by investing in fintech startups such as Zap. However, this month the US antitrust agency prevented Visa from buying the startup Plaid.

Nevertheless, Visa has long-term plans as far as crypto payments are concerned

In doing so, the company sees itself in the best position to establish itself in this sector. As a transcript of the press conference shows, Kelly says: „We believe we are uniquely positioned to make cryptocurrencies more secure, useful and viable for payments.“

In doing so, the Visa CEO divides cryptocurrencies into two main groups: „On the one hand, cryptocurrencies, which are an entirely new asset class and act as a store of value, and on the other hand, stablecoins, which are pegged to existing national currencies and are primarily used as a means of payment.“

For stores of value à la Bitcoin, Visa wants to act as an „access ramp“ through which investors can enter cryptocurrency from their national currencies:

„Our strategy for these cryptocurrencies is to work with wallet providers and crypto exchanges so users can buy them through Visa or pay with them at one of our 70 million retail partners.“

The strategy for stablecoins is much more proactive in this regard, as Visa sees this form of cryptocurrency as „an emerging innovation in payment services that has the potential to be as common in global commerce as any other national currency“. In this context, public blockchains could possibly become connecting points for existing payment systems.

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