Visa to accept Bitcoin and Altcoins for payments in Brazil

Vice President of New Business at Visa Eduardo Abreu shared new plans. It will be possible to carry balances in Bitcoin and other cryptocurrencies and use them for payments. This was reported by Coin Telegraph after a recent interview with local Brazilian news portal Seu Dinheiro.

API and token payments to close crypto-fiat gap

In the spring, Visa’s CEO in Brazil Fernando Teles introduced the concepts of API and token payments. This is meant to bridge the gap between digital assets and traditional financial institutions. Abreu is building on these concepts. According to him, the way forward is to integrate conventional financial activities into the crypto ecosystem. This will allow users to transact with cryptocurrencies and fiat currencies in the same environment.

Eduardo Abreu also hinted that customers could receive cashback in cryptocurrency.

The major advantage of Bitcoin is undoubtedly its simplicity. There is no need to exchange fiat currency when using Bitcoin. Brazilians already know the culture of card points, miles, discounts. Why shouldn’t they also receive cryptocurrencies with their credit card?

Merging traditional and modern finance

Visa has traditionally been a pioneer of developments in the crypto space. Last month, the company paid $150,000 for the CryptoPunk NFT (50 Ether at the time). Visa will also look to leverage its fintech relationships with Zro, Ripio, Alterbank and other national banks. This should increase adoption in the region. Visa also has access to 170 million users.

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Direct integration of BTC payments?

Visa is working with a number of local crypto companies. In the process, they are looking to launch crypto payment cards. They are also hinting at integrating direct bitcoin payments. This will enable investments in cryptocurrencies and ETFs within banking platforms and without intermediaries. Visa is also working on a B2B-focused blockchain. This will allow businesses to pay each other via smart contracts.

System in testing phase

According to Abreu, the system is currently being tested by some of its customers. It will increase transparency in payments between customers and suppliers. It will also verify deposits and withdrawals. The launch of this service is expected by the end of the year.