Visa may integrate cryptocurrencies into its payments network to make them safer and more useful
Visa CEO Al Kelly says the payments company has the capability to make cryptocurrencies safer, more practical, and broadly usable. As a result, Visa could add cryptocurrencies to its network in the future.
Kelly shared this view with investors during the fiscal first-quarter 2021 earnings call. Growing interest in digital currencies has captured Visa’s attention, and the company is preparing to expand into the sector.
He compared Bitcoin to gold, describing it as “digital gold” and positioning it more as an asset than a traditional currency. “We think of the crypto market in two segments,” Kelly said. “First, there are cryptocurrencies that represent new assets, such as Bitcoin. Second, there are digital currencies or stablecoins that are directly backed by existing fiat currencies. We see all currencies in that first segment as digital gold. They are predominantly held as assets that are not used as a form of payment in a significant way at this point.”
Visa plans to partner with wallets and cryptocurrency exchanges so users can buy digital currencies using their Visa credentials. The company also wants to enable users to cash out via Visa, allowing them to spend crypto-derived balances at any of the roughly 70 million merchants worldwide where Visa is accepted.
Kelly noted that the effort may be easier because many leading digital currency platforms and wallets have already partnered with Visa. Around 35 prominent platforms, including Crypto.com, Bitpanda, Fold, and BlockFi, have chosen to work with the payments network.
He argued that cryptocurrencies are increasingly recognized as a medium of exchange, which motivates Visa to incorporate them into a network that already supports over 160 fiat currencies.
Bitcoin and other cryptocurrencies have attracted growing attention from mainstream finance. In early years, many financial institutions and experts criticized Bitcoin, some dismissing it as a speculative gamble rather than a legitimate asset or currency. Over time, major financial institutions—such as JPMorgan and Goldman Sachs—have adjusted their positions, moving into crypto markets or encouraging clients to include Bitcoin in their portfolios.
If Bitcoin and other digital currencies are added to Visa’s network, adoption could accelerate because billions of people would be able to use them at Visa checkout points around the world.