The digital coin appears to be coming closer to mainstream acceptance as the financial services company is the latest to bring it on board.
The digital coin appears to be coming closer to mainstream acceptance as the financial services company is the latest to bring it on board.

Visa’s huge move on cryptocurrency

Visa will allow the use of cryptocurrency USD Coin to settle up transactions in its payment network, the latest indication of the growing acceptance of digital currencies by the mainstream financial industry.

Visa has launched the pilot program with payment and crypto platform Crypto.com, and the company said it plans to offer the option to more partners later this year.

"We've seen record-breaking growth in our business and the broader crypto ecosystem over the last year," said Kris Marszalek, co-founder and chief executive officer of Crypto.com. "To continue accelerating the world's transition to cryptocurrency, we need partners who understand the opportunity and the tools that will help us get to market faster and more efficiently.

"Having been a Visa partner for several years, we're excited to deepen that relationship through our global agreement and to pioneer an exciting world-first in stablecoin payments."

RELATED:Bitcoin passes huge milestone for first time

Visa has launched a pilot program with payment and crypto platform Crypto.com. Picture: AP Photo/Patrick Semansky
Visa has launched a pilot program with payment and crypto platform Crypto.com. Picture: AP Photo/Patrick Semansky

 

According to Visa, if a customer chooses to use a Crypto.com Visa card to make a purchase, the digital currency held in a cryptocurrency wallet needs to be converted into traditional money.

The company explained how transactions work, noting that the cryptocurrency wallet will deposit traditional currency in a bank account, which will be wired to Visa at the end of the day to settle any transactions, adding cost and complexity for businesses.

Visa's latest step, which will use the ethereum blockchain - technology that allows anyone to send cryptocurrency for a small fee - and negates the need to convert digital coin into traditional money in order for the transaction to be settled, the firm said.

The company said it has partnered with digital asset bank Anchorage and completed the first transaction this month with Crypto.com sending USDC to Visa's Ethereum address at Anchorage.

Visa's move comes as major financial firms, such as Mastercard, BlackRock and BNY Mellon, have also accepted digital coins, which has caused some to predict that cryptocurrencies will become a regular part of investment portfolios.

Last week, Tesla boss Elon Musk said customers can buy his company's electric vehicles with Bitcoin, marking a huge step forward for cryptocurrency's use in mainstream commerce.

This story was originally published on the New York Post and is reproduced here with permission

Originally published as Visa's huge move on cryptocurrency



Want to join the police? Here’s your chance in Bundy

Premium Content Want to join the police? Here’s your chance in Bundy

Queensland Police Service is holding a recruiting seminar in Bundaberg at the end...

Rangers search for witnesses to Fraser dingo attack

Premium Content Rangers search for witnesses to Fraser dingo attack

Rangers are searching for witnesses to a dingo attack on a two year old boy at...

‘Severely obese’ Queenslanders to have first grab at jab

Premium Content ‘Severely obese’ Queenslanders to have first grab at jab

Qlders classified as “severely obese” now eligible for priority jab