Visa Explores Allowing Users to Pay Blockchain Gas Fees with Credit Cards
Visa is experimenting with a solution that would allow users to pay blockchain gas fees directly with their credit or debit cards. This would eliminate the need for users to hold native cryptocurrencies like Ethereum (ETH) to cover these fees. The proposed solution uses Ethereum’s ERC-4337 standard and involves a smart contract known as a “paymaster” to handle the transaction. Visa engineers successfully tested this concept on Ethereum’s Goerli test network. The company believes that this approach can simplify blockchain transactions and make them more accessible for users.
Key Points:
- Visa is exploring options to enable users to pay blockchain gas fees with credit or debit cards.
- The proposed solution uses a smart contract to handle the transaction in fiat currency.
- Visa engineers successfully tested the concept on Ethereum’s Goerli test network.
- The company aims to make blockchain transactions more accessible and reduce user friction.
- Visa is open to collaboration with other firms interested in programmable payments tech.
Hot Take:
Visa’s experiment to allow users to pay blockchain gas fees with credit cards could greatly simplify the process of transacting on blockchain networks. By eliminating the need for users to hold native cryptocurrencies, it opens up the world of blockchain to a broader audience. This innovation has the potential to accelerate the adoption of digital currencies and make decentralized finance more accessible to the masses. It will be interesting to see how merchants, app developers, and wallet providers embrace this approach and collaborate with Visa to make programmable payments a reality.
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