Visa Expands Stablecoin Strategy as Quantoz Joins as Principal Member in Europe
- Quantoz can now issue Visa debit cards backed by its regulated stablecoins.
- The move helps bring stablecoins closer to everyday payments.
Quantoz Payments, a Dutch payment company, has officially become the principal member of Visa, which makes the firm the top issuer. Visa-branded virtual debit cards backed by its regulated digital money tokens across Europe. This move makes stablecoins and digital money usable in everyday payments.
What this partnership brings
Under this partnership, Quantoz can issue the virtual debit cards to the users, which are backed by its regulated money tokens, such as USDQ, EURQ, and EURD. These tokens maintain a 1:1 value in the USD and euro. So users can spend their token balances online and in-store by using their mobile wallets. This makes the users hold digital euro or dollar tokens just like the normal money in the card.
Principal membership benefits
By becoming the principal Visa member, Quantoz can issue Visa cards directly without relying on the banks, and it can now act as a BIN sponsor, which means other fintech companies can build and launch their own stablecoin-linked debit cards using Quantoz’s Visa membership.
Quantoz says that its tokens are issued under the Electronic Money Institutions license from the Dutch central bank. The firm stated that all the tokens are held 1:1 in safeguard accounts and funds are protected through a bankruptcy remote structure with a 2% additional reserve buffer maintained for extra security.
Earlier this year, major payment networks like BVNK, which is a UK-based financial infrastructure, partnered with VISA to allow businesses to send and receive stablecoin using Visa’s payment system. This shows that traditional payment systems are building an infrastructure for stablecoins to be used in daily transactions. However, success depends on the consumers using stablecoin for regular payments.
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