Visa, that was once considered a rival of the cryptocurrency community is fast becoming one of its biggest supporter.
As a global payments technology company, Visa is focused on delivering the greatest value to people, businesses, and economies everywhere. Taking this objective forward, Visa partnered with 35 various Bitcoin and cryptocurrency platforms in recent years.
Now in order to expand its network-of-network to support new forms of commerce, the credit card company has gone a step further. Visa announced its plans to help banks roll out Bitcoin and cryptocurrency trading services with a Visa crypto software program. The program is all set to launch by the end of this year if all goes as planned.
Visa rival PayPal attracted a lot of criticism when it announced plans to allow its users to trade in some major cryptocurrencies. It also triggered the recent Bitcoin price bull run. The critics were of the view that this move by PayPal was to prevent people from moving their cryptocurrencies off its platform.
The Bitcoin price has soared around 200% since then, escalating to over $40,000 per Bitcoin before falling back slightly. The rankling Bitcoin rally has generally resulted in institutional investors warming up to the digital currency and PayPal’s support.
However, as Bitcoin gains growing popularity among investors as a hedge against inflation its perceived utility as an alternative payment method reduces.
Visa’s head of crypto, Coy Sheffield reportedly said that they see crypto assets as more like digital gold. He also noted that there is less demand to spend Bitcoin.
Sheffield’s comments sound similar to those made by Visa chief executive Al Kelly last week. Kelly described Bitcoin as digital gold and said that cryptocurrencies were not used as a form of payment in a significant way at this point.
Kelly commented on their strategy. He observed that their goal was to work with wallets and exchanges to enable users to purchase these currencies using their Visa credentials. This would enable users to cash out onto Visa credential to make a fiat purchase anywhere where Visa is accepted globally.
The recent Bitcoin price roar has catapulted Bitcoin and cryptocurrencies back to the forefront of global consciousness. Further help was afforded by the return of paid-for celebrity crypto endorsements from the likes of actress Lindsay Lohan.
Elon Musk also made headlines this week, by making a statement that Bitcoin was on the verge of breaking into traditional finance. Last month he even revealed that he was open to being paid in Bitcoin.
Cryptocurrency is finally seeing a global acceptance from investors, financial services, and payment systems alike. What was created a decade ago is now emerging as a promising new payment innovation.