Visa Halts All Crypto Prepaid Debit Cards
Since January 4th, Wave Crest Holdings, Ltd. the issuer of the Xapo Card Program was advised by Visa ® to halt all its Visa ® Programs. With such short notice, debit card vendors have been left with little to no time to take upon the problem.
Wave Crest is responsible to provide cards to the following crypto-card companies. The include Bitwala, Cryptopay, Wirex, Bitpay and TenX. Bitwala & Bitpay have since begun negotiating with alternative card suppliers.Card providers such as Wirex & Bitpay have released a short statement assuring its clients that funds are safe and will be redistributed.
The debit card supplier in a statement said: “We can confirm that WaveCrest’s Visa membership is being terminated due to non-compliance with our operating rules. All WaveCrest-issued Visa card programmes will be closed as a result.
“We are committed to the security of its ecosystem and compliance with Visa’s operating rules is critical for ensuring the safety and integrity of it’s payment system. Our issuers’ card programmes must comply with our membership regulations, as well as all applicable laws.”
Visa also expressed that their actions weren’t directed to the cryptocurrency itself, but on WaveCrest’s ability to fulfill their policies that guarantee safety and integrity. Speculation on what operating rules violated could be third party parties involved in a transaction can lead to un-claimable funds if the transaction would occur to be untrustworthy or scam like.
A follow up will be up as soon as news on the topic emerges.
Bitpay Statement: https://blog.bitpay.com/wave-crest-bitpay-card-closures/
Xapo Statement: https://blog.xapo.com/xapo-card-closure-update-and-whats-next/
Wirex Statement: https://wirexapp.com/card-suspension-update
Bitwala Statement: https://www.bitwala.com/bitwala-cards-disabled/