Analysis News

VISA moves to blockchain

Apparently, the decrepit SWIFT bank transfer system comes to an end. Ripple (XRP) has been shaking its foundations for several years with its RippleNet. The advantages of Ripple are obvious – cheap and fast transactions. Now the leader of non-cash payments VISA challenges SWIFT.

Connect via blockchain

Visa has introduced a platform for international payments B2B Connect. The head of Visa Business Solutions, Kevin Phalen, said:

– With B2B Connect, we’re developing a new way for businesses to make cross border, high-value payments – fixing broken processes and breaking down geographic barriers along the way.

Visa uses the IBM blockchain, simplifying transactions. According to K. Phalen:

– The network’s unique digital identity feature tokenizes an organization’s sensitive business information, such as banking details and account numbers, giving them a unique identifier that can be used to facilitate transactions on the network. Visa B2B Connect’s digital identity feature will transform the way information is exchanged in business-to-business cross-border transactions.

According to VISA, it can handle more than 65 K transaction messages a second. Launching B2B Connect, VISA challenges two large players at once – the SWIFT transfer system and XRP cryptocurrency, which is used mostly for cross-border payments in the RippleNet.

Perhaps two more parties will be interested in new VISA product. They are Facebook on the eve of its stablecoin launch and … hackers! If Facebook is looking to negotiate, then hackers will probably perceive B2B Connect as a challenge and a way to get rich. Though there has not been a big hacking of the blockchain yet, hackers believe that it can still be hacked. Mentioned Sibyl attack, attack 51%, routing attack. Well, let’s not forget how Ether DAO was hacked in June 2016. On the other hand, do not underestimate the resource capabilities of VISA and practical unlimited scope for partnership – everyone wants to be friends with VISA. In any case, VISA now also with us and by the fact of launching B2B Connect confirms: there is no alternative to blockchain!

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