Visa has struck again in the cryptocurrency space this week by backing stablecoin infrastructure company BVNK. The strategic investment comes via its Visa Ventures arm, with the exact size of the investment undisclosed. The news follows BVNK’s impressive $50 million Series B funding round in December.
London-based BVNK is determined to build a “real-time, 24/7, 365 days a year payments network” for businesses, using blockchain technology. This means that businesses will be able to pay more easily and quickly in the future, a dream that is getting closer and closer.
Last week, Visa also announced exciting news: a partnership with Bridge, a division of payment services provider Stripe, to introduce a new stablecoin service for Latin America. The progress is contagious!
Stablecoins are digital tokens that are linked to stable assets, often the dollar. They play a crucial role in the crypto world, helping traders to execute transactions. But even countries with unstable economies are increasingly embracing these tokens. Investors can buy stablecoins, such as the popular USDT and USDC, which is used on several major crypto networks such as Ethereum and Solana are traded.
Rubail Birwadker, Visa’s Head of Growth Products and Partnerships, said that stablecoins will play an increasingly important role in global payment flows. Visa is investing in innovative technologies and companies like BVNK to stay at the forefront of commercial development and better serve its customers.
Unfortunately, BVNK and Visa were not immediately available for comment. But as for competition, Mastercard is also active with plans around stablecoins. They recently announced that they are working with payment transaction company Nuvei and crypto exchange OKX to allow customers to issue digital tokens.
A world full of opportunities and challenges, which even the biggest players in the financial sector cannot avoid.
What is BVNK's role in the crypto world?
BVNK is building a stablecoin payment infrastructure for businesses, enabling them to easily and securely transact using blockchain technology.
How much has Visa invested in BVNK?
The exact size of Visa’s investment was not disclosed, but it follows BVNK’s recent $50 million Series B funding round.
How do stablecoins address the needs of countries with unstable economies?
Stablecoins provide a way for people in countries with collapsing currencies to secure their assets and transact, helping them find financial stability amid economic chaos.
