Cryptocurrencies have become the hype of the internet world. The digital payment system has been touted as the future of commerce that payment giant Visa is also taking notice.
This is why the American multinational financial services corporation is teaming up with global exchange FTX to offer debit cards in 40 countries, focusing on Latin America, Asia and Europe.
The main selling point of this debit card is its ability to sell assets without the traditional restrictions.
By partnering with The Bahamas-based cryptocurrency exchange, owners of the Visa debit cards can transact in millions of merchants without having to move their assets off an exchange, meaning that users aren't required to pay any additional fees or go through the process of waiting for transactions to happen.
In other words, Visa in launching its debit cards with FTX, means that users can directly tap into their cryptocurrency funds in their accounts while shopping.
Crypto meets convenience. Unlock the ability to use crypto to fund everyday purchases securely, 24 hours a day, 7 days a week, 365 days a year with the Visa + FTX debit card. Learn more about our expanded @FTX_Official partnership: https://t.co/cSluoc0bFk pic.twitter.com/74O5pQfnVn
— VisaNews (@VisaNews) October 7, 2022
FTX’s platform supports trading and custody for hundreds of cryptocurrencies, including Bitcoin, Ethereum, Dogecoin, Solana, and stablecoin Tether.
It's worth noting that Visa debit cards for cryptocurrencies are already available in the U.S., and are tied to users' FTX accounts.
It's also worth noting that the move made by the payment giant is unusual, considering the cryptocurrency market condition.
Regardless, Visa's CFO stated that even though some assets are going down, they are seeing steady interest in digital assets, and many investors are actually focusing for the long run.
The partnership between Visa and FTX was announced at a time when Bitcoin is barely holding above the $20,000 price threshold and is losing almost 60% of its value since November 2021.
Before this, Visa has been partnering with a number of cryptocurrency-related companies.
Visa has even partnered with FTX competitor Coinbase and Binance, which makes it one of few companies to partner with the top three cryptocurrency exchange in the industry.
During the rise of NFTs on the market, Visa partnered with Bakkt to let banks and merchants offer cryptocurrency-related services.
According to Visa’s Head of Crypto Cuy Sheffield, in the release:
"We’re excited to partner with leading crypto exchanges like FTX to bring more flexibility and ease-of-use to the way people use their crypto."
While the move certainly benefits both parties, FTX CEO Sam Bankman-Fried feels that the whole thing is ironic.
According to him, one of the main purposes of Bitcoin and other cryptocurrencies is to get around banks and payments companies, which include Visa.
And with FTX partnering with Visa, the fact happens to be quite the opposite of what it's expected. But still he finds it amusing.
Sam said that he is happy that traditional financial companies are embracing the new technology instead of opposing it.
FTT, the native token of the FTX exchange, has surged 7% following the partnership with Visa.