- Visa ended its alliance with FTX after the FTX exchange collapsed.
- Earlier, Visa collaborated with FTX for the betterment of Payments solutions.
Visa is a payment solution developed by Bank of America in 1958, and the biggest competitor of Visa in the market is Mastercard.
Recently in an interview with a media outlet Chief Executive Officer and Chairman of Visa Alfred F.Kelly, Jr noted that the FTX crash led to good crypto regulation, which is “What’s necessary to build back confidence for people.”
In an interview with CNBC, Kelly said, “I hope one good thing that comes out of this FTX disaster for their investors and their employees is that we see an acceleration towards regulation and leaning into good stablecoin regulation. Because I think that it is necessary to build back confidence for people, and we’ll see over time.”
Further, he noted that “ We are setting up for the reality of crypto potentially having a role in payments and money movement. You know, we don’t pick winners or losers. We ultimately let the consumer and the experience decide. But we’re creating on and off-ramps for crypto players, putting Visa cards in wallets, converting the stablecoin to a fiat currency, and using their Visa card to shop anywhere they want. We’re even working on being able to settle with a merchant at the end of the day who wants to get settled in a stablecoin versus settled in a currency.”
Sam Bankman-Fried posted a Tweet about the FTX Card on 21 January 2022 and aimed for Alliance with Visa’s success.
According to TheCoinRepublic report, The recent alliance between FTX and Visa has ended. As FTX is facing Chapter 11 bankruptcy filings, Visa Inc. decided to end their relationship. In October 2022, the two large entities agreed to provide Visa debit cards to FTX users across 40 countries.
“We have terminated our global agreements with FTX, and their US debit card program is being wound down by their issuer.”
Kate Rooney, a journalist at CNBC, reported that Vasant Prabhu, Chief Financial Officer of Visa, told him in a telephonic interview that “Even though values have come down there’s still steady interest in crypto, We don’t have a position as a company on what the value of cryptocurrency should be or whether it’s a good thing in the long run — as long as people have things they want to buy, we want to facilitate it.”
Sam Bankman Fried also noted some factful opinions in the telephonic interview with CNBC “It’s a technology that we absolutely see disrupting traditional payment networks. There’s a decision you have to make as a traditional payments company: do you want to lean into this or do you want to fight against it? I respect the fact that many of them are leaning into it.”
Kevin also stated that it is time to implement regulations for the cryptocurrency industry. If the administration doesn’t take any action toward crypto regulations, there is a possibility that other digital assets will face the same situation as FTX in the crypto market. “The entities will not invest until the industry gets regulated, whether by the SEC or other regulators.”
Nancy J. Allen is a crypto enthusiast and believes that cryptocurrencies inspire people to be their own banks and step aside from traditional monetary exchange systems. She is also intrigued by blockchain technology and its functioning.
Source: https://www.thecoinrepublic.com/2022/11/21/visa-ceo-suggested-the-way-to-bring-back-the-confidence/