Visa prepares for crypto future – Finextra

Visa prepares for crypto future – Finextra

Visa CEO Alfred Kelly says the card scheme is preparing its payments network to handle a full range of cryptocurrency assets.

In an earnings call with analysts, Kelly says the company will treat the crytocurrency market as two distinct segments: traditional cryptocurrencies, such as bitcoin and Ether; and fiat-backed digital currencies including stablecoins and central bank digital currencies.

“In this space, we see ways that we can add differentiated value to the ecosystem. And we believe that we are uniquely positioned to help make cryptocurrencies more safe, useful, and applicable for payments through our global presence, our partnership approach, and our trusted brand,” Kelly told analysts.

For the first segment, Visa will work with “wallets and exchanges to enable users to purchase these currencies using their Visa credentials or to cash out onto a Visa credential to make a fiat purchase at any of the 70 million merchants where Visa’s accepted globally”.

This is similar to card scheme’s to connect with closed loop wallets such as Line Pay and Paytm

Visa has already struck card deals with some 35 organisations in the crypto-markets, such as BitPanda and BlockFi. According to Kelly, these wallet relationships “represent the potential for more than 50 million Visa credentials.”

Looking to the future, Visa will also train its focus on upcoming stablecoins that can be handled as a traditional