Visa, the company that focuses on providing digital payment technology and has presence in over 200 nations, announced its partnership with over 50 crypto-platforms to provide people with crypto linked visa cards all across the world.
More than 1/4th of the firms that are involved in Visa’s Fintech Fast Track program have been working very hard to issue Visa credit and debit cards that are linked to crypto currency platforms.
Over a billion dollars has already been spent by users on purchases through crypto-linked cards this year and it is expected that such cards and several other emerging payment mechanisms which includes QR codes, biometrics and others are capable of disrupting the $18 trillion that is spent annually by consumers via cheques and cash worldwide.
The company is even trying to provide users with crypto rewards which are similar to the rewards that one receives on regular cards such as cash back rewards, hotel points and airline miles programs etc. This will hopefully help gain consumer loyalty in the long run.
“We are doing a lot to create an ecosystem that makes cryptocurrency more usable and more like any other currency. People are exploring ways in which they can use cryptocurrencies for things they would use normal currencies for. There are lots of issues in terms of volatility, etc. But that’s up to the owners of cryptocurrencies to manage and track,” Visa CFO, Vasant Prabhu said.
The company said that they would use fiat currency to settle transactions to simplify the whole process. So what exactly they would do here is convert the cryptocurrency that is linked to the card into a regular currency for example US dollar.
Earlier this year Visa had also announced that they would use Stablecoin, which is a certain type of crypto-currency that offers price stability, cost efficiency, privacy-security and instant processing of fiat currencies through collateralization.
Through Stablecoin, the company shall peg the commodity’s value/price or a currency by it-self.