According to Vasant Prabhu, after peaking in April and May, digital asset transactions utilizing Visa have begun to fall. The company's Chief Financial Officer, Vasant Prabhu, believes that crypto-related Visa transactions are starting to decline. The top executive stated that their peak months were April and May, with a subsequent dip beginning in June.
Visa's Cryptocurrency Transactions Are Slowing Down
Visa Inc., an American international financial services firm, just released its fiscal Q3 2021 results. According to the study, the company's last three months were lucrative, owing to the fact that several leading countries began to recover from the effects of the COVID pandemic:
“Visa had another solid quarter, owing to the fact that several significant economies are well into a reopening-driven recovery. While continuing to invest in strategies that will drive future development, Visa increased net sales by 27% and non-GAAP EPS by 41%.”
However, the company's CFO noted that, after a surge in the first two months of the quarter, crypto-related Visa transactions began to decline in June. The executive feels that the tendency will counteract the firm's plans for larger cross-border expansion.
In Visa's fiscal third quarter, overseas spending reportedly increased by 47 percent. When travel transactions are removed from the equation, online cross-border financial activities climbed by 56%, up from 12% in the second quarter. It's worth mentioning that bitcoin purchases accounted for a significant portion of the earnings.
New Cryptocurrency Services from Visa
The payment technology behemoth, which recently disclosed that over $1 billion had been spent on crypto-linked Visa cards, has previously expressed its support for digital assets. For example, the company expressed interest in completely incorporating a cryptocurrency payment system into its present infrastructure back in April. Bitcoin and other virtual currencies have even been dubbed "digital gold" by Visa officials.
The company approved the distribution of a physical debit card a few weeks ago, allowing Australian customers to spend bitcoins in local retailers and leisure places. Customers will be able to make direct purchases using cryptocurrencies rather than having to convert them into fiat money first.
CryptoSpend, the Australian app that will manufacture the card, has stated that the product will be available in September of this year. Richard Voice, one of the company's co-founders, said:
“Our clientele range in age from 18-year-old students to grandmothers in their 70s. [This] highlights the growing desire among people of all ages to utilize cryptocurrency as a daily currency.”
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