In the early days of Internet payments, something that was a common topic of conversation was whether VISA, Mastercard and American Express should not have acted faster, rather than stop a space that was occupied, in a very intelligent way, mainly by PayPal, but also by other fintech born in the shadow of electronic commerce, which in a few years went from being a trend to becoming a giant.
Its situation vis-à-vis cryptocurrencies could seem, today, similar. And it is that while bitcoin, ethereum and others remain in the focus of investor interest, signaling a growth potential for which more people are betting every day, VISA and other payment entities seemed not to be too interested in this new economy. But yes, I speak in the past tense because VISA has just taken a very important step, by starting to operate with a cybercurrency, USDC.
If you don’t know it, USDC is part of a type of digital currency known as stablecoins, and that are located halfway between the fiat currencies and the cryptocurrencies that we usually talk about. His proposal is to offer a digital currency but stable, as its name suggests, that at the same time takes advantage of what the new economy of digital currencies offers, but without the enormous problem of volatility. This is undoubtedly the reason why VISA has chosen it for its first foray into this field. You can find more information about USDC in this link.
According to information published by the Reuters Agency, VISA clients who wish to trade with USDC they will no longer have to change them previously to dollars (the reference currency of USDC and from which it takes its value), something that has associated commissions, which cause the operations to end up being more expensive, both for the sender and for the receiver, if the latter wishes to convert again dollars in cyber currency. With this change, VISA clients will now be able to carry out purchase and sale operations directly on USDC.
Mastercard recently announced its plans to allow payments with cryptocurrencies, and so did PayPal some time ago but, so far, those announcements have remained a declaration of intent, in which VISA has managed to take advantage of them. It is understood, of course, that to score that goal he has opted for a stablecoin which, in addition, is generally well regarded by regulators. Different and more complex will be that this support arrives for bitcoin, ethereum, dogecoin and many others that, however, have already received this news trading higher.