While Venmo is not the only payments application that offers crypto services, it commands an 18% share of the global crypto wallet users.
Venmo Pushing Crypto Strategy
As aforementioned, Venmo recently released the cashback to crypto feature. The feature automates the cashback process by allowing users to convert cashback to cryptocurrencies at zero charges.
This feature currently only supports four of the most popular cryptocurrencies: Bitcoin, Ethereum, Bitcoin Cash, and Litecoin. As the feature continues to gain adoption, the platform could add support for more cryptocurrencies.
The cashback feature was first rolled out by the platform in August. Through this feature, users receive a cashback on purchases made with specific merchants. Users that have signed up for the Venmo Mastercard Debit Card have already been automatically enrolled into Venmo Offers.
To use this new feature, customers can open the app and then go to the Credit Card section. After taking this action, the users can then go to the Rewards tab and click on ‘Get Started’ before selecting the cryptocurrency they want to use with this new feature.
Payment Firms and Crypto
Venmo’s parent company, PayPal, has been actively involved in enabling cryptocurrency services for its users. The payments giant firm recently expanded its crypto services in the UK and the USA. In a recent update to its crypto checkout services, the platform announced that it would allow US users to buy, sell and hold cryptocurrencies directly using the PayPal app.
During the announcement, PayPal stated that it also had plans to increase its crypto utility significantly. The firm plans to make this possible by making cryptocurrencies available to all the 26 million merchants on the platform globally.
PayPal is not the only payments giant firm that is exploring cryptocurrencies. MasterCard and Visa are also working tirelessly to expand their crypto services following increased global crypto adoption.
Earlier this year, Visa rolled out the crypto-linked card aimed at making it easy for crypto holders to use their crypto holdings easily. In a report issued mid this year, Visa noted that the global usage for the card had reached $1 billion worth of transactions during the first half of 2021. The data showed that the company has launched a service that is fast gaining dominance in the crypto sector.
On the other hand, MasterCard recently announced that banks and merchants that use its network can soon access crypto services. The firm further stated that it was expanding its crypto services to launch wallets and loyalty rewards. The firm noted that with the new services, it will be possible for customers to earn and spend rewards in the form of crypto rather than loyalty points.
The two firms have been steadily rolling out their crypto services by teaming up with major players in the cryptocurrency space to ensure that they can get access to a blockchain network that will help facilitate transactions between fiat currency and digital currencies.
Money remittance firms have also been joining the race towards cryptocurrency adoption. MoneyGram recently partnered with the Stellar blockchain to facilitate transactions between stablecoins and fiat currency. Another leading remittance firm in Asia, GME Remittance also partnered with Ripple to use blockchain to facilitate cryptocurrency cross-border payments.