The operator of bank cards Visa, together with Crypto.com, launched a pilot program to conduct international transactions using the USDC stablecoin on its network.
The partners have already completed the first test transaction in USDC: Hong Kong-based payment company Crypto.com has sent tokens to the Visa address through the custodian company Anchorage. Visa said that cryptocurrency payments are usually converted to fiat currencies when making payments, which implies certain complications and costs. The new service, based on the Ethereum blockchain, will allow avoiding the preliminary conversion of digital currencies into ordinary money. The solution for settlements in USDC is planned to be presented at the end of the year. However, before its launch, it is necessary to carry out a number of tests, as well as to coordinate this issue with partners and regulators.
Jack Forestell, director of product development for Visa, said the transaction was an important achievement. This will meet the needs of fintech companies and neobanks that need to conduct transactions in stablecoins or conventional cryptocurrencies. Partnerships with Anchorage and Crypto.com will expand Visa’s operations to ensure safe and easy cross-border payments using both fiat and digital currencies. Forestell believes that this will be another step towards the massive use of cryptocurrencies in the payments field.
Crypto.com partnered with Visa this month to become a full member of the payment network in Australia. This gave Crypto.com the right to independently issue Visa cards in that country.
CEO Alfred Kelly believes that cryptocurrencies will become even more popular in the next five years, which is why Visa intends to further develop in this industry. For example, last month Visa began developing cryptocurrency services for banks and financial organizations, and a few months ago suggested ways to use state digital currencies for offline payments.
