Visa has completed the acquisition of Currencycloud, a global platform that enables banks and fintech companies to provide foreign exchange solutions for cross-border transactions.
Visa has completed the acquisition of Currencycloud
According to a press statement, the acquisition will “offer greater transparency, flexibility, and control for Visa and Currencycloud clients and partners when making international payments or doing business in various currencies.”
Exciting times ahead for Currencycloud as @Visa announce the completion of the acquisition.
We look forward to working together to bring greater transparency, flexibility and control for businesses moving money around the world! pic.twitter.com/R5BCYjgGHg
— Currencycloud (@Currencycloud) December 22, 2021
According to the press release, Visa and Currencycloud had already created a strategic collaboration to service and support Visa’s clients using Currencycloud’s cloud-based platform, which supports over 500 banking and technology clients in over 180 countries.
Currencycloud has partnered with fintech firm Ripple to use RiipleNet, Ripple’s global financial payments network, which “offers connections to hundreds of financial institutions around the world via a single API and makes moving money faster, cheaper, and more reliable,” as first reported by CryptoPotato.
According to Ripple’s website, RippleNet eliminates the need to pre-fund accounts with a feature called On-Demand Liquidity, which employs the XRP coin. RippleNet is supposedly used by banking giants such as Santander, Bank of America, SBI Remit, and Banco Rendimento.
Currencycloud’s cooperation with Ripple allowed it to “research new mechanisms for moving money effectively around the world, especially where restrictions and limitations limit SMEs’ potential.”
Visa has been making inroads into the bitcoin market. It became the first large payments network to use a stablecoin as a settlement currency in March 2021, when it began settling payments in the USDC stablecoin on the Ethereum blockchain.
Visa, the world’s largest payments company, has announced that it will now settle payments in the USDC stablecoin on the Ethereum blockchain, making it the first major payments network to do so.
Visa piloted the USDC payment option through cryptocurrency exchange Crypto.com, which will now be able to manage its crypto debit card company exclusively in digital assets, according to Business Insider. Visa’s regular settlement mechanism forced the company to settle in fiat currency, which increased the company’s costs and complexity.
Forestell went on to say that it’s a natural extension of the company’s mission of “securely facilitating payments in all various currencies all around the world.” According to TheBlock, Crypto.com co-founder and CEO Kris Marszalek stated that the company hopes to enable “millions of people around the world to access and use digital currency.”
Visa’s decision to accept digital currencies directly allows it to take full use of its advantages. Crypto bank Anchorage serves as the settlement agent for USDC transactions, which means Crypto.com sends USDC to Visa’s Ethereum address in Anchorage.
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