Crypto-linked card issuance is increasing. Visa announced this week that consumer spending on Visa-based crypto credit cards has exceeded $ 1 billion in the first six months of the year alone this year.
Increase in acceptance through accessibility
Visa also announced this week that it plans to partner with 50 different cryptocurrency platforms to provide easy access for consumers converting and spending digital currencies at millions of merchants around the world. These crypto companies include Coinbase, Block, Crypto.com, and more.
The transaction business is developing rapidly; It was only earlier this year that the company announced that it would allow consumers to use stablecoin USDC to process transactions.
Visa is also working with FTX on the company’s FinTech “FastTrack” program. As part of the program, they will help ensure that FTX pays 50% of its employees in USDC. The partnership and program are nothing new to the credit card company, having partnered with companies like Circle over the past year.
Related reading | Why VISA believes Bitcoin has potential in cross-border transactions
More from the Visa report
Visa also created a Digital Currency Roadmap, which was first published last year. This week’s report highlights the progress made on this roadmap, highlighting three key sticking points: “An expanding and developing ecosystem, redesigned rewards and stablecoins come to the fore”.
The company intends to continue leveraging relationships with crypto-first firms to fuel growth in the aforementioned ecosystem. They cite an infrastructure that they believe will help “establish Visa as the network of choice for crypto-native businesses.” Interest accounts, lending and direct deposits are important priorities for Visa and its partners.
In terms of rewards, partnerships continue to help open new avenues for Visa to grow. Affiliate program users can spend fiat to earn crypto rewards, the same way we see airline and hotel points related to consumer spending. Affiliate programs with companies like BlockFi and Circle are well underway and have made a significant contribution to crypto card spending this calendar year of $ 1 billion. These programs allow crypto advocates to earn tokens from their typical expenses, while potentially also offering those less familiar with the crypto landscape rewards that educate and educate them about the broader crypto landscape.
After all, the company shows clear enthusiasm for what it sees as stablecoins, which “are beginning to fulfill the promise of” digital fiat “: the developer-friendly properties of the cryptocurrency in combination with the reliability of fiat-supported reserves”.
While many argue that large corporate takeover is healthy for a broader cryptocurrency, some longtime proponents believe that companies long rooted in traditional banking are compromising the decentralized nature of crypto.
Visa has seen strong stock growth this year, and continues to show long-lasting investments in crypto. | Source: NYSE: $V on TradingView.com
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