VISA cards issued for crypto currency owners are now useless. As a result of the severe measures taken by the payment system, several issuers of crypto-currency cards were forced to suspend the provision of their services throughout Europe.
Subsidiary VISA Wavecrest is accused of refusing to serve customers of such processing companies as Xapo, Tenx, Bitpay and Bitwala.
– Strange prohibition –
The VISA payment system quite suddenly put an end to the existence of crypto-currency cards. But what are they? This tool is very common among users of crypto currency.
VISA cards provided indirect payment for purchased goods or services, automatically converting the crypto currency to the national currency. A card is a tool for bridging the gap between a real money system and a digital one.
As a result of a sudden refusal, VISA ceased to serve customers of digital currencies, processing companies had to suspend their services in Europe and return customers their funds.
Immediately after the rumors of canceling the service of crypto-currency clients, the cost of the PAY-related to Tenx fell by 15 percent. As a result of a system error, many tokens could not transfer funds from their Tenx wallets to a regular exchange account. Because of this, PAY, which cost 5 dollars a few hours ago. And now it is traded at the rate of 4.3 $.
The online purse Cryptopay posted the following statement on Twitter:
Unfortunately, the VISA system stopped serving bitcoin Cryptopay cards. This should happen as quickly as possible. We apologize for the inconvenience caused. We are working on making new decisions.
Other maps have not yet published any comments. But apparently, the Wavepay ban will affect the companies-issuers.
– What are the reasons –
What was guided by VISA when deciding to cancel crypto-currency cards is unknown. But the organization for a long time was at enmity with bitcoin. Perhaps the digital currency threatens the stability of the VISA payment system.
The company itself explains that such a decision was made because of the constant non-compliance with the rules of work adopted within the company. In addition, VISA declares that the withdrawal of cards is in no way connected with the target actions against the Crypto-currency.
And the company also claims that the solution will not affect those cards that are used to convert bitcoins to real currency.
Our payment system has other tools that allow you to convert crypto currency into real currency. The solution related to Wavecrest will not affect these products.
Members of the virtual community have always been afraid of the VISA payment system. After all, this company in 2011 stopped accepting donations in favor of WikiLeaks. Of course, this decision was a salvation for WikiLeaks. The company switched to bitcoin and received large revenues, since the Crypto currency began to multiply in value.
It is still difficult to judge whether these card issuers will be able to find alternative solutions for rendering the same payment services.
What were the reasons for VISA is unclear. But one thing is clear: centralization in the market of crypto-currency is too dangerous for it.
And what do you think, what guided the world-famous payment system when making a strange decision? Write about it in the comments to the article.