Why the Coinbase and Visa Partnership Could Transform Crypto Investing

In the latest announcement, financial giant Visa announced a new collaboration with crypto exchange Coinbase for real-time payments. Thus, VISA debit card users would be able to instantly deposit their funds to their Coinbase accounts. This is a significant advancement, enabling real-time crypto purchases and helping to mitigate crypto market volatility.

Coinbase and Visa Brings Real-Time Crypto Payments

Along with VISA, crypto exchange Coinbase has been expanding its real-time payment capabilities for customers in the US and Europe. In order to facilitate the fund flows, the company will leverage its existing debit card connections. Besides, financial giant VISA has also been expanding its crypto payment services to other parts of the world while partnering with other players like Singapore’s dtcpay.

Visa has already supported the Coinbase debit card, however, it announced that the recent collaboration will allow other VISA debit card holders to instantly make crypto purchases and transfer funds to bank accounts directly through the card. Thus, users get real-time 24 x 7 access to trading opportunities.

For a very long time, the digital assets industry has been facing obstacles with traditional banking and payment systems. This has largely been due to the lack of regulatory clarity as well as concerns regarding the overall market volatility.

However, clearer crypto regulations worldwide—and potentially in the U.S. with the next administration—may help bridge this gap. Yanilsa Gonzalez Ore, Visa Direct’s head for North America, highlighted this move as enabling customers to “take advantage of trading opportunities day and night.”

Visa is also exploring potential opportunities in the stablecoin and asset tokenization market. Last month, it entered into a partnership with Spanish banking giant BBVA by launching the Visa Tokenized Asset Platform (VTAP) aimed at facilitating the issuance and experimentation of fiat-pegged stablecoins.

All Eyes on Earnings Report

Later today on Wednesday, October 30, Coinbase will report its third-quarter earnings with The Street expecting an EPS of $0.41 and $1.25 billion in revenue. This report comes at a time when the Bitcoin price is eyeing a fresh all-time high.

The COIN stock has participated along with the Bitcoin rally this year and is up 40% year-to-date. However, it’s still trading at a 30% discount from its IPO levels back in 2021. But the recovery has been pretty strong from the lows of $35 back in December 2022. If the broader crypto market supports, the COIN stock might reach close to its all-time high levels over the next year.

The crypto exchange has also taken up the regulatory fight with the US SEC in recent times. In his recent message on Tuesday, Brian Armstrong stated that the next SEC chair should issue an apology to the American people and withdraw all “frivolous cases”. “It would not undo the damage done to the country, but it would start the process of restoring trust in the SEC as an institution,” he added.