Payments giant Visa has partnered with Ethereum scaling firm ConsenSys to enable the use of Visa cards and digital wallets linked to central bank digital currencies (CBDC).
In an interview on the subject, Visa’s CBDC head Catherine Gu said that as a result of the partnership with ConsenSys, Visa’s customers will be able to use their CBDC-linked cards and digital wallets wherever Visa is valid.
Gu said that Visa is in talks with central banks around the world for CBDC-backed cards.
“If our project is successful, CBDCs can expand access to financial services and make governments’ payments more efficient, targeted and secure.”
Stating that Visa’s CBDC payment module will act as an intermediary bridge in the transition to the existing payment system networks of CBDCs, Gu stated that banks and companies will be able to connect to the module and integrate their existing infrastructures.
Gu also said they are reviewing pilot events to test the viability of the project and will be working with central banks from early spring.
“The next two to three years will be critical. The main challenge is to understand how new forms of money can coexist with existing payment instruments and existing systems.”
Alongside its partnership with Visa, ConsenSys is currently assisting the governments of Australia, France, Hong Kong and Thailand in their CBDC development.