Visa’s Digital Dollar Concept Opens a Door to Central Bank Currencies
The coronavirus recovery is accelerating government involvement in payments, providing Visa a chance to turn a developing currency concept into a route for federal transactions.
The U.S. Patent office on Friday published a Visa patent application to create a technology gateway that could allow central bank currencies for any nation to be digitized. Visa filed the application in November, predating the coronavirus crisis that has generated more interest in digital money.
The application details a centralized computing system that receives information and denomination of a traditional currency, which is then converted to a digital form and recorded on a distributed ledger. This could work with any traditional currency, placing Visa in the middle of the process.