#Ethereum almost caught up with Visa in processed transaction volume, recording $3.01 trillion vs. $3.08 trillion respectively.

The popular blockchain is already the network of choice for many established players looking to utilize the novel technology, Visa included.

Notably, Ethereum is far younger than the traditional payments giant.

The report attests to growth in mainstream adoption of crypto and blockchain, despite association with scammers, drug dealers, and cybercriminals.

Ethereum (ETH), though younger than traditional payment moguls like Visa, has shown that blockchain has become a formidable force in the financial market for the second time in three years. The news comes after a Coingraph report indicating that the Ethereum blockchain recorded a trading volume of $3.01 trillion against Visa's $3.08 trillion.

Ethereum almost caught up with Visa in processed transaction volume

Ethereum (ETH) blockchain has recorded a massive $3.01 trillion trading volume, only about 0.07 trillion less than #Visa . The competition is remarkable, especially for Ethereum, because of the bearish market since mid-2022.

With this information, Ethereum testifies to the growth in blockchain technology so much that it can now rival established players within the payments technology space. It also evidences the growth in mainstream adoption of a budding technology often associated with an enabler of crime. This is because scammers, drug dealers, and cyber criminals are now more inclined to digital assets than traditional finance.

Based on Etherscan data, Ethereum daily transactions hit 968,996 on May 28, with the all-time high being 1,932,711 transactions on December 9, 2022.

As the second-largest #blockchain in the world, Ethereum powers a wide range of financial technology solutions committed to revolutionizing the finance market on a global scale. These solutions include staking, lending, flash loans, and decentralized finance (DeFi).

Further, the Ethereum blockchain has become a wealthy, agile, and dynamic environment with a wide provision for further development. This is another advantage of Ethereum over traditional financial layers.

Ethereum foray into TradeFi

The famous blockchain is already the choice network for most established traders and investors like Visa, who want to use the novel technology. A May report about Ethereum's economics indicated that Visa employed Ethereum's Goerli testnet to try transaction-free payments using account abstraction.

It leveraged a smart contract christened 'Paymaster,' which allowed the company to capitalize on account abstraction to perform complex tasks on behalf of accounts and manage transaction costs. Citing Head of Crypto Cuy Sheffield at Visa at the time:

Excited to see Visa deploy our first paymaster smart contract on testnet as we continue to research and experiment with account abstraction and ERC-4337.

ERC-4337 is an Ethereum standard that performs account abstraction without a consensus-layer alteration. This allows users to bundle and automate transactions on the network.

Ethereum previous triumph over visa: A deep dive into the factors

This is not the first time Ethereum has shown its gusto against Visa. The blockchain network had outperformed the payments giant in 2021, recording $11.6 trillion against Visa's $10.4 trillion trading volume.

Despite the difficult conditions in the crypto market, Ethereum survived through regulatory clampdowns, a myriad of bank crises amidst turbulences in traditional finance, and the ensuing Fear,  of Uncertainty and Doubt (FUD). The role of developments and upgrades cannot be ignored as these are the major reasons for ETH high volume transactions. The Merge upgrade and Shanghai/Capella (Shapella) upgrade are among the major upgrades, as they reduced the gas fees and spiked the number of transactions between 2022 and 2023.

#Visa successfully tested a way for users to pay #Ethereum gas fees with credit or debit cards! 🎉

The Big Picture:
Visa, the global payments juggernaut, has just unveiled a game-changer for Ethereum users. They’ve tested a solution allowing folks to pay gas fees (those pesky little charges for transacting on the Ethereum network) directly via Visa credit or debit cards. This is all about making digital transactions smoother and more user-friendly. 👩‍💼🤝👨‍💼

Background Dive: 🏊

Interacting with Ethereum’s decentralized apps (dapps) traditionally requires users to get #ETH from exchanges, move it to their wallets, and then use this ETH to cover gas fees.

This method often leads to people either spending too much or not having enough ETH. A pain, right? 😩

Visa wants to simplify this. They’ve used some super techy tools for their test, including paymaster smart contract agreement, account abstraction, and the ERC-4337 standard. 🛠️

Tech 101:

Account Abstraction: It’s like evolving your regular crypto wallet to a "smart contract wallet". It’s a big step up, allowing cool things like gasless transactions and batch transactions. 🚀

ERC-4337: An Ethereum standard that guides how account abstraction can be used in a crypto wallet. 📜

How It Works (Simplified): 🤖

You want to make a transaction on the Ethereum #blockchain .

Your wallet creates a User Operation request detailing the transaction and how much gas fee it might require.

Instead of sending this to the blockchain directly, your wallet sends it with your Visa card info to a special web service.

This service checks the fee, processes the payment via Visa's platform called Cybersource, and sends back a digital signature and a time frame for when the signature is valid.

Your wallet gets these details and sends everything to the blockchain. If all's good, the transaction goes through without a hitch! 🟢

In Summary:

Visa believes that making blockchain transactions easier can bring in a lot more users. Their experiment is a step toward reducing the tricky bits of using blockchain and Ethereum, making the experience smoother for everyone. 👏🍾

$ETH $BETH

Visa has partnered with a blockchain company to introduce a new service that allows users to convert cryptocurrencies into traditional fiat currencies directly through their debit cards using the Visa Direct Solution.
A new feature from Visa aims to facilitate easier adoption and use of cryptocurrencies. In collaboration with Transak, a company specializing in blockchain payment infrastructure (such as the Millionero exchange), Visa brings simplification to the process of converting cryptocurrencies into fiat currencies through its Visa Direct Solution Network.
This service enables users to transfer cryptocurrencies from their digital wallets directly to a Visa card and then use it to pay at merchants worldwide that accept Visa. With Visa's global reach, this new feature offers benefits to a wide range of users involved in the world of payments and cryptocurrencies.
Yanilsa Gonzalez-Ore, Chief of the North American division of Visa Direct, emphasized the importance of this innovation, saying, "Through Transak and the ability to perform real-time card withdrawals via Visa Direct, we provide our customers with faster, simpler, and more interconnected experiences, facilitating the conversion of cryptocurrencies into fiat currencies. The ability to seamlessly withdraw cryptocurrencies to Visa cards represents a significant step forward in broader cryptocurrency adoption."
Visa has previously supported the development and adoption of cryptocurrencies. In 2023, it participated in the pilot testing of a digital currency in Hong Kong, a significant milestone in public support for central bank digital currencies on an international scale.
Additionally, Visa has discussed possible collaborations with cryptocurrency exchanges and other entities to facilitate payments. The company actively highlights the potential of cryptocurrencies in the context of global payment operations.
Visa has also expressed support for stablecoins and collaborated with Solana in 2023 to implement USDC payments on its platform.
#Visa #cryptocurrency

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Visa, a global payment solutions leader, is taking steps to modernize cross-border money transfers. The company is expanding its use of stablecoins and integrating the Solana blockchain.

This initiative involves collaboration with major merchant acquirers, Worldpay and Nuvei, and aims to transform financial transaction processing.

Visa has already conducted successful live pilots, allowing the seamless transfer of millions of USDC tokens across the Solana and Ethereum blockchains to settle fiat-based payments. These developments reflect Visa’s commitment to using blockchain to improve global payment efficiency.

Visa’s payment system involves intricate fund movements between the customer’s bank (issuer) and the merchant’s bank (acquirer). Visa’s treasury and settlement systems facilitate these fund transfers among nearly 15,000 financial institutions worldwide in over 25 currencies.

Visa’s Crypto Head’s Statement

Cuy Sheffield, Visa’s Head of Crypto, emphasized the company’s dedication to embracing digital currency and blockchain innovation. He explained that by leveraging stablecoins like USDC and blockchain networks like Solana and Ethereum, Visa aims to enhance cross-border settlement speed and offer modern fund transfer options.

Benefits of Solana Integration

The integration with the Solana blockchain is expected to provide faster and cost-effective settlement solutions. Solana boasts quick block times, high transaction throughput, and Visa’s move positions it as a leader in improving global cross-border payments for both consumers and businesses. This initiative showcases Visa’s commitment to industry innovation.

Important: Please note that this article is only meant to provide information and should not be taken as legal, tax, investment, financial, or any other type of advice.

#CryptoNews #cryptomarket #Visa #Solana #Stablecoin

In a groundbreaking move, global payments giant Visa has recently introduced an innovative web3 loyalty reward system designed to enhance customer engagement in the ever-evolving digital landscape.A Seamless Experience for UsersThis forward-thinking initiative equips customers with digital wallets, providing a streamlined avenue to accumulate tokenized tickets, loyalty coins, digital collectibles, and exclusive perks from various brands. Notably, these rewards are versatile, applicable to both virtual and physical experiences, according to official statements from the company.What sets this system apart is its commitment to user accessibility. Visa ensures that even individuals without advanced blockchain knowledge can seamlessly navigate and benefit from the rewards. A Visa spokesperson highlighted this aspect, stating, "the offering makes web3 easy for both partners and consumers alike, from our partner's first-of-its-kind engagement platform to our simple 2-click mobile registration."Powered by SmartMedia TechnologiesBehind this pioneering venture is the expertise of SmartMedia Technologies, an enterprise web3 platform established in 2018. The company boasts a robust track record, having collaborated with industry leaders such as American Express, Unilever, and Burberry.Visa's collaboration with SmartMedia Technologies represents more than an enhancement of customer rewards; it symbolizes a significant shift in the value exchange dynamics between brands and consumers within a mobile payments-centric world.Tyler Moebius, CEO of SmartMedia Technologies, emphasized the broader implications of this collaboration in a company release, stating, "This partnership with Visa is not just about enhancing customer rewards; it's about redefining the value exchange between brands and consumers in a mobile payments-first world."A Transformative Journey AheadAs Visa and SmartMedia Technologies join forces, the landscape of loyalty rewards is set to undergo a transformative journey. Stay tuned for the unfolding of a new era where customer engagement is redefined in the digital realm. This collaboration promises not only enhanced rewards but also a strategic reshaping of the relationship between brands and consumers in the mobile payments landscape.Follow the developments closely as Visa and SmartMedia Technologies pave the way for a future where innovation and user-centric experiences converge. #BTC #Visa #cryptosolutions

Visa Trials Ethereum Paymaster: Off-Chain Card Payments for Gas Fees

Payments giant #Visa is experimenting with a groundbreaking solution, using Ethereum's ERC-4337 standard and a "Paymaster" smart contract, to enable users to pay on-chain gas fees with their Visa cards. Traditional #Ethereum  transactions often require users to hold ETH for gas fees, leading to complexities. Visa's approach involves off-chain gas fee settlement, with a user-triggered transaction sent to the Paymaster for gas computation and Visa payment through Cybersource. Successful trials on the Ethereum Goerli testnet have shown promise. This innovation not only streamlines user experiences but also offers broader potential for merchants and decentralized apps to enhance interactions.

A recent report by Visa and Allium Labs indicates that the majority of stablecoin activity involves automated bots and traders rather than human users.Visa claims that out of the reported $2.2 trillion in April transactions, less than 10% were driven by actual people.Despite the significant bot-driven activity, the stablecoin market cap remains steady at around $150-$160 million, with Tether (USDT) and USD Coin (USDC) leading the market.Visa's study also highlights a rise in monthly active users, reaching 27.5 million across various blockchain networks.Research firm Sacra predicts that stablecoins could surpass Visa's transaction volume in Q2 2024.

According to a recent report by Visa and Allium Labs, the stablecoin market might not be as extensive as previously believed. The findings suggest that the vast majority of stablecoin transactions are not driven by human interaction. In fact, less than 10% of all stablecoin transactions are considered organic, originating from real users.

Visa's head of crypto, Cuy Sheffield, suggests that most stablecoin transactions are influenced by what he calls "a lot of noise." In April 2024 alone, the stablecoin market processed a staggering $2.2 trillion worth of transactions. However, upon closer examination, it becomes apparent that only about $265 billion of that total came from actual payment activity by individuals.

Visa's research involved filtering out bot-influenced and large-scale trader transactions to determine the number of individuals involved and the corresponding transaction amounts. It is worth noting that the current stablecoin market cap is estimated to be between $150 million to $160 million according to CoinMarketCap. Two leading stablecoins, Tether's USDT and Circle's USDC, dominate the market with a combined market share of over 90%.

Despite challenges in accurately tracking and monitoring the stablecoin market, Visa's study reveals a consistent increase in monthly active stablecoin users, reaching approximately 27.5 million users across various blockchain networks. Pranav Sood, an executive at Airwallex, suggests that the stablecoin market still has substantial room for growth as it is still in its early stages as a payment avenue.

In an interesting prediction, research firm Sacra suggests that stablecoins will surpass Visa's total payment volume in the second quarter of 2024, despite the noise and complexities associated with tracking this market. As the stablecoin market continues to evolve and integrate into the financial landscape of both crypto and traditional finance (TradFi), there is a growing need for refined data analytics to better understand the market and provide a secure environment for investors and traders.

Disclaimer:
This article aims to deliver accurate and up-to-date information; however, Voice of Crypto will not be responsible for any missing facts or inaccurate information. Cryptocurrencies are highly volatile financial assets, so it is advised to conduct thorough research and make independent financial decisions.

#Stablecoins #stablecoin #Visa #Crypto2024 #cryptocurrency