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Visa Eyes CBDC Development as it Dives into Crypto Space


cryptoknowmics.com 28 April 2021 13:30, UTC
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Payments giant Visa is now aligning itself to tackle major challenges associated with crypto space and CBDC. To reflect its support to cryptocurrencies, the firm has recently begun to settle stablecoin USD Coin transactions since last month. Highlighting its crypto commitment, the CEO of Visa AI Kelly mentioned that the firm will broadly move into the digital crypto space. 

Visa to Support CBDC development and The Crypto Industry

Undeniably Visa is leaning into the Crypto Space in a big way. During a proceeding call made on April 27, the CEO of Visa, AI Kelly mentioned that the firm is looking forward to the five individual aspects of crypto. 

The key elements incorporate trading of cryptocurrencies, settlements via stablecoins, crypto-related APIs for financial firms, and Central Bank Digital Currencies (CBDCs). Kelly mentioned that:

“ our focus is on five different opportunities that we see in this space, and I would say that this space that we are leaning into in a very big way and I think are extremely well-positioned.”

Looking at the need for high-level security in the digital currencies in the central bank, Visa proposed a plan to add value with the firm’s long track record. Kelly explained:

“We’re talking to central banks about the criticality of public/private partnership and in particular the criticality of acceptance because for these central bank digital currencies to have value, they’re going to have to both be secure in the minds of consumers, and that’s something we have a long track record with and could help.”

Visa Indicates Adoption of Crypto

From the recent actions of Visa, the firm allowed the settlement of transactions on their payment network. The latest indication of acceptance is the increasing adoption of digital currencies in the traditional financial industry. 

Collaborating with a crypto exchange, Crypto.com, the payments giant Visa announced a pilot program that aims to allow firms to participate with more partner options later this year. 

Analyzing the expanding demand from consumers from all across the world, the firm tries to hold and use cryptocurrencies to grow. Cuy Sheffield, head of the crypto at Visa, stated;

“We’re seeing demand from our clients to be able to build products that provide that access for consumers.”

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