Visa Possible Ethereum Auto-Payment Scheme

B

y leveraging blockchain technology, Visa allows Ethereum users the freedom to conveniently arrange recurring payments directly from their self-managed wallets. This modern payment system grants control and convenience with no need for a middleman.

Visa has presented Account Abstraction, an Ethereum feature currently being assessed by core developers, as the ideal method to put in place automatic payments.

This company claims that customers can create recurring payments. Unfortunately, Ethereum doesn’t allow this to happen as automated smart contracts are unable to request transactions; instead, user accounts have to set up and submit them manually.

Visa recently declared that it's not as straightforward to arrange auto-payments on a blockchain, since bank accounts and custodial crypto wallets are so convenient for this purpose. However, implementing the feature in a self-custodied wallet where users have total control over their funds is an entirely different challenge - one which Visa has yet to conquer.

Although the feature is quite unlikely to be integrated into Visa's crypto payment cards connected with custodial exchanges, it could potentially be incorporated in their merchant and bank-oriented settlement services that need to communicate with non-custodial Ethereum wallets.

Jonathan

An editor at Coincrop

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Jonathan is a Coincrop staff writer based in the UK, covering the best rates for cryptocurrency earning and borrowing products. When not at work, he's likely sailing.