The major payments service will be implementing crypto into their payment system with the help of existing crypto trading platforms
In a recent press release, Visa announced its move into the digital currency space by integrating crypto transactions with its global network of 61 million merchants. The platform will support 25 different cryptos, including Bitcoin, Ethereum and Ripple.
Visa seems to be realising that the use of crypto is becoming more prominent outside of the fintech field, with consumers and businesses adopting the technology in larger numbers. From May 2019 to May 2020, more than $10 billion in crypto was used for online payments.
Visa invested in crypto research company Anchorage last year, and it led to platforms such as Zether and FlyClient, all of which contributed to the current program.
The new Visa cryptocurrency wallet will be similar to a digital wallet.
The wallet is designed to deliver a, “full range of Visa’s capabilities,” that will make it, “faster and easier for consumers to convert digital currency and push those funds to their Visa credentials in real-time.”
US still lacks firm crypto regulations
In the past, crypto has been largely unregulated by the US Government, with the term “cryptocurrency” differing in meaning from one agency to another. The Financial Crime Enforcement Network in particular does not consider crypto as legal tender and therefore, it should not be exchanged as such.
Early last week, the Office of the Comptroller of the Currency (OCC) announced that national banks and federal savings associations are authorised to commercially provide cryptocurrency custody services.
“This opinion clarifies that banks can continue satisfying their customers’ needs for safeguarding their most valuable assets, which today for tens of millions of Americans includes cryptocurrency.”
These developments point to a greater role for cryptos in the payments space, and the de facto endorsement of the sector by the OCC may help people trust decentralised currencies more.
The Blockchain movement
On the other side of the globe, Alibaba introduced its new blockchain, AntChain, and its blockchain workstation. Its purpose is to streamline the integration of blockchain technology for businesses and startups.
With tech giants such as Alibaba and Visa leading the charge for mainstream blockchain payments integration — more industries can be expected to adopt the technology. This should mean further advances in blockchain development and potential competition in the industry as a whole.