Visa CEO Blasts Blockchain Payment Speed, Says Crypto of No Use for the Credit Card Company
Alfred F. Kelly Jr., the CEO of Visa Inc., has affirmed that he does not think that the blockchain technology or cryptocurrencies will ever as useful as the credit cards of the company. He stated that he firmly felt that the firm was a great case for the fintech success story while Bitcoin was not.
The main argument of the CEO was that blockchain was simply too slow to be useful. The affirmation was made during a luncheon with executives at the Boston College Executives Club. During the meeting, the CEO affirmed that he did not see a lot of innovation in cryptos and that they were not useful for Visa in the short term.
Kelly has also stated that the blockchain technology was designed to handle a volume that was too low and with high-value transactions instead of small ones, the opposite of Visa. Because of this, he believes, that the technology is, indeed, interesting, but that, at its core, it is simply not interesting for Visa in any way, mainly because it could never handle as many transactions as Visa can.
Despite his reservations about the Bitcoin market and the blockchain technology, he did admit that there was some room for innovation in the business-to-business (B2B) department of the company and talked about a blockchain-inspired platform called Visa B2B Connect, so it looks like Visa is more interested in using blockchain as an inspiration than as an actual tool.
Mastercard, on the other hand, which is the greatest competitor of Visa, has been studying the innovations and the implications of the blockchain technology in the market, something that is considered to be very important for the company in a facility with 275 specialists.
Bitcoin Is Not A Good Way Of Payment, Visa CEO Affirms
The CEO has also talked specifically about cryptocurrencies and has affirmed that they simply are not very useful as payment vehicles in the near future. It is, as he states, as fast as Visa or as useful, overall, especially for small transactions.
It would be unexpected for a member of a company like Visa to acknowledge that cryptocurrencies are good, but they are certainly here to stay and, despite their issues, their developers are always working to improve the tokens and to make them considerably better at all times.