Mastercard and Visa, two major payment services giants, are reportedly suspending new collaborations with crypto-related companies, according to some knowledgeable sources. These reports follow the previous downfall of multiple ventures that issued crypto debit cards and encountered financial obstacles last year. However, after the release of the report, Cuy Sheffield, head of the crypto at Visa, expressed that the details provided in the story were inaccurate with regard to Visa.
JUST IN: Visa & Mastercard pause launch of #crypto products until market conditions and regulation improves.
— Watcher.Guru (@WatcherGuru) February 28, 2023
What’s the Stance of Visa and Mastercard on Crypto?
Recently, Manya Saini, a Reuters reporter, had a chat with both the spokespersons of Visa and Mastercard. The spokesperson for Visa told Reuters that the recent high-profile setbacks in the crypto sector are an important indication of the fact that there’s still a lot of work to do before the crypto space can go anywhere near replacing the mainstream payment alternatives.
The Visa spokesperson has reaffirmed that any such setbacks do not affect their strategies related to the blockchain and crypto space. Furthermore, the spokesperson for Mastercard stated that they will remain focused on the utilization of blockchain technology, with an aim to address prevalent issues and build more efficient systems. As such, both companies are continuing to remain dedicated to the development and application of blockchain technology.
The cryptocurrency business landscape has seen a number of noteworthy collapses and bankruptcies, which have included businesses like FTX, Celsius, and Blockfi, which had issued crypto-linked debit cards earlier. These organizations’ downfall resulted in their debit cards becoming unusable, and ultimately being terminated.
However, in February 2023, Wirex announced a strategic partnership with Visa. And previously, Blockchain.com and Visa had also collaborated to launch a cryptocurrency debit card prior to the FTX’s setback in October 2022.
Visa’s Head of Crypto Counters Reuters Story: ‘Inaccurate Reporting’
Cuy Sheffield, Head of Crypto at Visa, tweeted in response to the Reuters report, emphasizing that it is inaccurate concerning Visa’s involvement. He confirmed that the company is continuing to partner with crypto companies to enhance fiat on/off ramps and progress on their product roadmap to develop secure, compliant, and convenient products to enable stablecoin payments.