In a new advancement for cryptocurrency, popular payment merchant, Visa is working on a solution that’ll aid users to make automatic payments via their self-custodial wallets. With the solution, crypto-users will be able to automatically pay their electricity and telephone bills.
The auto payment features as recommended by Visa’s crypto thought leadership team will empower service providers to automatically deduct service charges from users’ wallets. Further, in a blog post, Visa reveals that the feature will be available to Ethereum-supported wallets.
Meanwhile, the auto-payment feature is famous in the traditional banking system. With it, users often delegate approval power to some service providers to pull money from their bank accounts. Despite its popularity, the feature is unfamiliar in the crypto space and impossible for owners of self-custodial wallets.
The innovation that will aid the auto payment feature for self-custodial wallets
Visa explained that automated programmable payments that aid auto-payment needs engineering work. Additionally, the payment giant stressed how users of self-custodial wallets enjoy autonomous custody of their private keys. This implies that they must manually approve transactions. Therefore, denying any third party to initiate any transaction without the approval of the user.
Nonetheless, Visa didn’t rule out the possibility of the autopayment feature for self-custodial wallets. In the blog post, the payment giant said the introduction of a new custodial wallet known as “delegable accounts” will make it possible. The wallet is based on the Account Abstraction Concept.
Furthermore, Visa explained that the AA concept will aid users’ account to work like a smart contract. The company illuminated how users can schedule payments without having to give approval on every transaction. Visa said it’ll allow users to structure payments that’ll transfer funds from one self-custodial wallet to another at recurring intervals. Thus, easing users’ stress of having to approve payments all the time.
Visa’s increasing effort towards cryptocurrency advancement
Previously, Visa has engaged in numerous collaborations and initiated innovations to push crypto advancement. Among its numerous efforts is the collaboration with the now-defunct cryptocurrency exchange FTX. In October, the payment giant collaborated with FTX to provide debit cards to 40 countries. The innovation provided users in some selected countries the privilege to spend their virtual currency like fiats in their bank account.
Also, Visa’s exploits extended to NFTs as well. In March, through its Creator Program, the payment giant introduced NFTs for small businesses to expand their business outreach. Without doubt, Visa has been integral towards the mainstream adoption of cryptocurrency through it’s numerous innovations.