Visa stated on July 7 that spending on crypto-linked cards in its network had surpassed $1 billion in the first half of the year.
Through new cards and other initiatives, Visa and Mastercard have taken moves toward broader acceptance of cryptocurrencies, indicating how prevalent crypto debit and credit cards could grow in the future.
Over the first half of 2021, spending volume on Visa-branded crypto cards surpassed $1 billion.
Several crypto-linked debit cards, as well as certain upcoming crypto rewards credit cards, are supported by Visa’s network.
To cut expenses, the payment network has revealed intentions to settle transactions using digital currency.
Cryptocurrency Doesn’t Seem to Be Going Anywhere
Despite the steady assault of crypto skeptics, cryptocurrencies like Bitcoin and its counterparts appear to be here to stay.
Several cryptocurrency exchanges offer debit cards, some of which are Visa-branded. These cards allow users to fill their accounts with their preferred digital currency and then use the card to make regular payments. The card issuer translates the cryptocurrency associated with the debit card into the merchant’s fiat currency, such as the US dollar.
Visa said earlier this year that it would begin settling transactions in USD Coin, a stablecoin that helps simplify the settlement process, to make the conversion process move more swiftly and cost-effectively.
Furthermore, other exchanges, such as BlockFi and Gemini, have announced plans to launch credit cards, with some partnering with Visa and others with Mastercard.
As significant financial institutions such as Visa and Mastercard become more involved with digital currencies, their role in the modern economy becomes more secure.
That isn’t to suggest that cryptocurrencies aren’t risky, particularly as a speculative investment. Bitcoin’s price hit an all-time high above $65,000 earlier this year, only to plummet to half that level in a matter of weeks.
However, as more people utilize digital currencies in their daily lives, as indicated by increased spending on Visa crypto cards, the risk may become more manageable.