The chief executive of a major legacy financial services company appeared on a podcast in which he discussed the company’s crypto-focused strategy.
Alfred Kelly, the CEO of Visa (NSYE: V) talked about what the company is planning to achieve through a multi-layered strategy that involves bitcoins, altcoins, and fiat-backed stablecoins.
Visa is stepping up its game early in the race so that it does not lose on a potential business opportunity.
Seizing a crypto opportunity
Kelly’s comments on the Leadership Next podcast bordered on the company positioning itself strategically around new payment methods and technologies so that if they go mainstream, Visa grabs the business opportunity.
Visa, one of the world’s most valuable companies with a market cap of $482 billion, facilitates electronic funds transfers across the world through the use of its credit cards, debit cards, and prepaid cards.
Visa’s plan could go a long way in accelerating the adoption of cryptocurrencies. The company might end up working with wallets to bring crypto to its network.
Kelly explained that Visa is trying to do two things as the company forays into the crypto world.
“One is enable the purchase of bitcoin on Visa credentials. And secondly, working with bitcoin wallets to allow the bitcoin to be translated into a fiat currency and therefore immediately be able to be used at any of the 70 million places around the world where Visa is accepted.”
Kelly also spoke about the potential of digital currencies backed by fiat currencies.
Stablecoins and payments
He said there is a potential for stablecoins to be used in the payments industry especially in emerging markets.
“There we see a strong potential for those to become a new payment vehicle,” said Kelly.
Kelly’s vote of confidence on stablecoins may not come as a surprise to many given that Visa opened up its network to USDC, a stablecoin issued by Circle.
The company’s position is in line with the Office of the Comptroller of the Currency (OCC), which set new guidelines that allow blockchains and stablecoins to be integrated into the U.S. financial system.
At the moment, Visa is striking strategic partnerships.
Visa’s crypto partnerships
Kelly said the company is working with lots of players in this regard.
“So certainly in the digital currency world, we’re working with lots of players. There’s about 35 different players we’re working with,” he explained.
The company’s position on the crypto industry can also be summed up by the partnership they have struck with crypto-focused firms such as Anchorage and First Boulevard.