A few years ago, cryptocurrencies and blockchain technologies were well-known to everyone, but today public interest in them has noticeably faded. Facebook’s digital currency failed before launch, and Telegram completely stopped developing its blockchain platform. Despite this state of affairs, Visa filed a patent application to create its own cryptocurrency.
The document says that digital money has several advantages over fiduciary ones – those that are not backed by gold or other precious metals. Among the main advantages are indicated a much faster transaction speed and a high level of user confidence. Both of these parameters are achieved through the use of blockchain technologies.
However, Visa believes that there is no need to completely abandon traditional money and switch to using only digital currencies. This is explained by the fact that the use of cryptocurrency requires electronic devices, which not all population groups have. In this regard, a complete transition from one type of money to another is impractical.
It is still unclear whether Visa intends to create its own digital money or if it will not go beyond the patent. Meanwhile, China has already launched large-scale testing of the national cryptocurrency.
Last Updated on May 16, 2020 by Prosenjit Dey