August 20, 2020

Are Visa and Mastercard driving the mass adoption of crypto currencies?

Leading payment processing companies, Visa and Mastercard, have made strong statements during July in favour of the use of crypto currencies, thus supporting their massive adoption.

The relationship between these companies and the crypto-currency exchanges opens up a new front in the traditional financial space. Mastercard, for its part, has expanded its “Accelerate” program dedicated to boosting the large-scale growth of the Fintech industry to offer crypto-currency cards, making new coalitions in a short time with different exchange houses. Next, Visa, with a positive attitude towards the cryptomarket, pointed out that it is an interesting way to expand the existing network of networks and support the technology that drives global commerce.

Several exchanges already use the service of these two large payment processing companies; Coinbase, Binance, Crypto.com among others, have at their customers’ disposal Visa and Mastercard to facilitate the use of crypto money in the traditional world.

Potential growth in the traditional world’s relationship with cryptomontages

two cards and a coin

Visa has made public its positivity towards payment services with crypto-currency. Through its blog, detailing an article on its approach to digital currency. The company claims that it is a concept that goes beyond fintech.

The firm also has an accelerator program focused on the Fintech companies called FastTrack, which allows intercommunication with the companies based on crypto currencies to their systems, already having relations with 25 of them.

On the other hand, we have Anchorage, a security infrastructure for the crypto ecosystem. Part of their research resources have been directed to the blockchain world for several years, creating their respective white papers from the Zether and Flyclient projects.

In parallel, Visa has been actively working to promote regulations and policies towards the world of cryptology.

Mastercard has progressively offered to the different exchanges and payment providers, to register in its Accelerate program, through the incorporation of new debit and credit card providers, offering also assistance to favor the entry and expansion in different countries. It should be noted that potential members must comply with strict company policies, including compliance with AML/KYC standards.

Wirex payment processor, became the first crypto-currency platform to be granted Mastercard’s primary membership status, allowing users of the platform to instantly convert crypto-currencies into trust money. In addition, customers who make charges with the card get a benefit called “cashback”, which they receive 1% of the amount debited, in their bitcoin wallet.

Financial industry leaders like Mastercard and Visa who are actively promoting crypto currency companies, add more credibility to the value and utility of these services. Supporting their mass adoption removes much of the uncertainty people may have about cryptosystems and allows them to discover the digital assets for what they are.

Source: cointelegraph.com