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Visa May Add Cryptocurrencies to Its Payments Network, Says CEO

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Re: Visa May Add Cryptocurrencies to Its Payments Network, Says CEO

#91

Post by teslaberry »

delaaxe wrote: post #69
piracy1 wrote: post #68

Earlier quoted context omitted.

Isn't that true of everything? If you were an early adopter of America you could get free land that today could be worth hundreds of millions.

That's a great analogy

yea, and thats why land feudalism and revolutions occur. older stakeholders become too top heavy. new ones must take their place by burning lamd records and redistribution of 'gods' bounty (land). bitcoin has inertia but theres zero reason trust cent be established with an entirely new bitcoin 2.0 3.0 4.0......after all that was bcash's pitch. as scammy as it is , at least you roger ver started it not an anonymous japanese dildo. dont like it? start bitcoin 3.0 and airdrop evenly to all citozens, you know ...because ubi solves eveuthing. .

Re: Visa May Add Cryptocurrencies to Its Payments Network, Says CEO

#92

Post by flatline »

You don’t pay for things from your brokerage fund by cashing out your QQQ shares.

You don’t pay for things with the gold in your home safe.

You don’t keep funds in a foreign currency in your home country for everyday purchases.

There is no use of bitcoin for which this seems well-suited.

Re: Visa May Add Cryptocurrencies to Its Payments Network, Says CEO

#93

Post by arcticbull »

nowherebeen wrote: post #46
lotsofpulp wrote: post #21

Earlier quoted context omitted.

Visa is left with a valuable rewards game system where people get cash back or points or whatever. Plus the liability protections that credit cards come with. People can already use debit cards with no effort, and merchants can accept that at very minimal costs. But still, most merchants are hesitant to offer lower prices to purchases with debit card because they are betting people spend more with credit cards. I don…

I don't think their rewards system is as valuable on you might think. When the cost of visa transactions are ultimately pushed to the consumer (~3%), they will eventually realize, those rewards are not worth the cost. Off course, this will probably take some time. But in my opinion, Visa's moat is thin and mostly reliant on the behavior of their users. For US, I expect Visa to still be dominant, but not so much in ot…

Visanet takes 0.1-0.2%, the rest goes to issuing banks to handle loyalty programs and loan origination and servicing. The value to merchants is a roughly 20% increase in average ticket size for card transactions, not having to handle risks associated with cash and crypto (theft and fraud respectively).

For what it’s worth the bulk of the spread between processing fees and origination is returned to customers in North America, certainly in the US with 2% cash back no annual fees like the Citi Double Cash.

In Europe interchange is capped at 0.2% for debit and 0.3% for credit and has been since 2015. I’m not sure off hand but I believe Australia has interchange caps too.

Re: Visa May Add Cryptocurrencies to Its Payments Network, Says CEO

#94

Post by icelancer »

Nursie wrote: post #42
z0xz0xz0x wrote: post #5

Earlier quoted context omitted.

Not all cryptocurrencies have finite volumes by design. Ethereum, for example, currently doesn't have one. It also uses a proof-of-stake instead of proof-of-work for consensus, so even early owners of hardware don't maintain an advantage.

Has ethereum actually switched to PoS? It was still in the pipeline last I heard.

ETH 2.0 is operational and is PoS but the main Ethereum is not Proof of Stake just yet. 2ish years (Vitalik time = Valve time, so probably 3+ years).

Re: Visa May Add Cryptocurrencies to Its Payments Network, Says CEO

#95

Post by lotsofpulp »

arcticbull wrote: post #87
lotsofpulp wrote: post #21

Earlier quoted context omitted.

Visa is left with a valuable rewards game system where people get cash back or points or whatever. Plus the liability protections that credit cards come with. People can already use debit cards with no effort, and merchants can accept that at very minimal costs. But still, most merchants are hesitant to offer lower prices to purchases with debit card because they are betting people spend more with credit cards. I don…

Visa doesn’t administer rewards programs - or loan origination for that matter - that’s handled by issuing banks. They are simply the payment rails. They also only collect a very small amount of the transaction, like the 0.1-0.2% range.

Yes, but I’m assuming the Fed’s payment system won’t offer rewards, so Visa would benefit from the existence of rewards’ schemes on their network versus others such as the Fed’s.

Re: Visa May Add Cryptocurrencies to Its Payments Network, Says CEO

#96

Post by thrashh »

doggosphere wrote: post #37
pjc50 wrote: post #29

Earlier quoted context omitted.

You're not protecting from uncertainty with a currency whose value fluctuates against the dollar by 10% daily on a regular basis.

Do you think volatility will be the same 10 years from now? 20 years? If so, why? I think volatility will down as volume and scale increase.

I think the fact that no one controls Bitcoin is actually a major downside. The Fed does a lot of work to keep USD stable (alongside being part of a a stable government). I trust the USD as long as I trust in the institution.

Re: Visa May Add Cryptocurrencies to Its Payments Network, Says CEO

#97

Post by icelancer »

MattGaiser wrote: post #32
alextheparrot wrote: post #24

Are there any crypto projects that allow chargebacks? I religiously avoid using my debit card except at bank ATMs to avoid that once every few years when someone skims my credit card. That and rewards are the main value-add of a traditional payment flow at the moment.

This to me is the barrier that prevents the adoption of crypto everywhere. There are substantial advantages to centralized control.

You can centralize on top of BTC if you want that. Nothing is stopping you from offering a chargeback solution on the blockchain network (though this is much more likely to exist on top of Ethereum's network).

There are no chargebacks for cash, for example, yet it underpins the Visa/MC network.

Re: Visa May Add Cryptocurrencies to Its Payments Network, Says CEO

#98

Post by arcticbull »

lotsofpulp wrote: post #47
nowherebeen wrote: post #46

Earlier quoted context omitted.

I don't think their rewards system is as valuable on you might think. When the cost of visa transactions are ultimately pushed to the consumer (~3%), they will eventually realize, those rewards are not worth the cost. Off course, this will probably take some time. But in my opinion, Visa's moat is thin and mostly reliant on the behavior of their users. For US, I expect Visa to still be dominant, but not so much in ot…

> they will eventually realize, those rewards are not worth the cost. Debit cards in the US have been available and basically free to use for all merchants and purchasers for many decades. Yet, merchants willingly do not give people that buy with a debit card a discount. That seems like proof to me that merchants are betting that they earn more money from the use of credit cards, even after the fees associated with t…

Cash discounts are predominantly at gas stations in the US.

Re: Visa May Add Cryptocurrencies to Its Payments Network, Says CEO

#99

Post by arcticbull »

flatline wrote: post #92

You don’t pay for things from your brokerage fund by cashing out your QQQ shares. You don’t pay for things with the gold in your home safe. You don’t keep funds in a foreign currency in your home country for everyday purchases. There is no use of bitcoin for which this seems well-suited.

For what it’s worth you could (read: not should lol) thanks to an InteractiveBrokers debit card which borrows against your margin :) then settle by selling at the end of the month to cover your debt.

Re: Visa May Add Cryptocurrencies to Its Payments Network, Says CEO

#100

Post by arcticbull »

eruleman wrote: post #19
warent wrote: post #11

Earlier quoted context omitted.

Isn't the saying "Trust, but verify"

"Don't trust, verify" is crypto's slogan. "Trust, but verify" is Reagan's slogan.

The crypto slogan is “In Tether We Trust For Some Reason”
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