As Vitalik Buterin of Ethereum pointed out, Visa founder Dee Hock There were a few ideas This is similar to the key principles of cryptographic and decentralized autonomous organizations (DAOs).
“It certainly has some good insights to learn from it,” commented Butalin.
Hook’s original vision
Visa’s original concept was supposed to be based on fair ownership, distribution, diversity and distributed governance.
Originally, it was supposed to be a non-stock membership organization with no stock prices. However, following the first public offering (IPO) in 2007, Visa became a for-profit public company, and has since witnessed major governance changes.
Such an approach actually reflects the philosophy behind DAOS, which allows it to govern without central authority.
Visa has deviated from the beginning, turning payment processing into an immeasurable, major central institution. As Buterin pointed out, some cryptocurrency proponents now tend to view visas as “extracted” and “oppressive.”
For example, Visa is always criticized for its ability to block high transaction fees and transactions. However, higher fees were required to please shareholders.
Visa has also been able to raise the fees as it enjoys a complete market advantage along with rival MasterCard.
Visa’s Crypto Play
Cryptocurrency has long been advertised as a possible alternative to visas. But paying giants are moving to embrace them instead of fighting the fast-growing sector.
In 2021, Visa began piloting Circle’s USDC Stablecoin for Ethereum-powered settlements, gradually expanding its pilot to Solana.
Visa has also launched Stablecoin-related vehicles and integrated its Web3 infrastructure that allows seamless code-to-acquisition withdrawal.