Cryptocurrencies are undeniably one of the most significant technological advances in recent years, with the potential to destabilize the worldwide centralized finance environment.
Cryptocurrencies have the potential to transform the global financial sector due to the underlying blockchain technology and a totally decentralized environment. Cryptocurrencies can not only reduce transaction costs by eliminating intermediaries, but they can help alleviate the worldwide unbanked dilemma. The associated expenses of fiat to crypto conversions through local exchanges, confusing regulatory laws, and limited adoption of cryptos in the real world, however, keep crypto from becoming popular.
To address these issues, Visa, the global payments technology business, is cooperating with a number of crypto service providers. The transcript of Visa’s fiscal third-quarter 2021 earnings conference call shows the platform’s attempts to make cryptocurrencies accessible to the global population. Visa’s CEO underlines the company’s interest in facilitating cryptocurrency solutions for the unbanked around the world
According to Visa’s CEO and Chairman Al Kelly, “In the crypto space, we recently signed three partnerships: one with Tala to partner on cryptocurrency solutions for the global unbanked; and two, with crypto exchanges, FTX and CoinZoom, to begin offering Visa cards. We now have more than 50 crypto wallets and platforms, up from 35 in Q1 and more than the next leading network. And collectively, they drove over $1 billion in payments volume, which represents a significant engine of growth.”
Visa has teamed with CoinZoom to offer five different CoinZoom Visa Cards to Visa users in the United States. These Visa cards are linked to the CoinZoom wallet, allowing users to pay for goods and services with cryptocurrencies at over 53 million merchant stores and VISA Partner outlets throughout the world. Additionally, the five tiers of Visa cards provide distinct benefits to users based on their CoinZoom wallet balance, such as discounts, cashback, and rewards.
Another significant worldwide payment technology, PayPal, is also assisting in the widespread use of cryptocurrency. Customers in the United States can now use the platform’s Checkout with Crypto feature. Crypto retail payments will progressively become more available worldwide as more service providers, such as Square, Gemini Pay, and Mastercard, support crypto, allowing people from emerging and third-world countries to join in the financial revolution.
Crypto-based Remittance Industry Solutions
Visa is always looking for ways to improve cross-border transactions and bring more individuals into its global financial ecosystem. Vasant Prabhu, Visa’s Vice Chairman, and Chief Financial Officer said on the company’s recent earnings conference call, “You’ve heard us talk about the extraordinary progress we’re making in remittances. For example, we signed up with all the major remittance providers and we can provide a very flexible, very attractive proposition for their consumers at a very attractive cost.”
Cryptocurrencies can help solve some of the remittance industry’s growing difficulties, such as too many intermediaries, high transaction fees, and transfer delays. These issues are addressed by CoinZoom’s peer-to-peer remittance service, ZoomMe. Users can send and receive fiat and cryptocurrency without any fees or geographical limits using this crypto-based remittance system. The site is highly regulated and has numerous country licenses, giving it a viable alternative to traditional remittance alternatives. Visa’s CEO underlines the company’s interest in facilitating cryptocurrency solutions for the unbanked around the world
“We’re incredibly thrilled to be a partner with Visa and provide our crypto debit card to customers in the United States right now, with Europe coming soon,” says Todd Crosland, CEO of CoinZoom. Along with our peer-to-peer remittance business, ZoomMe, we feel that allowing customers to spend their crypto as they would any other monies is helping to drive crypto acceptance ahead. ZoomMe enables users to send USD or cryptocurrency abroad for free.”