Payments giant Visa has reportedly joined the hype of NFTs and purchased a CryptoPunk NFT worth almost 50 ETHs valued at $150,000. The purchase indicated a bullish sentiment towards cryptocurrencies and NFTs and the company’s entry into the NFT sphere.
According to the transaction history of Larva Labs, the publisher of CryptoPunks, Visa bought the NFT for 49.5 ETH on the 18th of last week. It is relevant to mention that Visa does not handle cryptocurrencies and its crypto transactions are handled by custody bank Anchorage.
In addition to the tweet announcement, Visa also published a blog post on NFTs revealing their impressions on the booming industry and how Visa will participate in it. The head of Visa’s crypto division, Cuy Sheffield said in a blog post:
“We think NFTs will play an important role in the future of retail, social media, entertainment, and commerce. To help our clients and partners participate, we need a firsthand understanding of the infrastructure requirements for a global brand to purchase, store, and leverage an NFT. Having worked with Anchorage Digital to complete this process, we’re better positioned to help our partners navigate the process.”
Visa has purchased the CryptoPunk 7610 which is one of 3,840 “female” punks. Sheffield noted that the company wanted to buy a CryptoPunk to “collect an NFT that symbolizes the excitement and opportunity of this particular cultural moment.”
Regarding the hype of NFTs and what its future holds, Sheffield commented:
“NFTs have the potential to become a powerful accelerator for the creator economy and lower the barrier to entry for individual creatives to earn a living through digital commerce. NFTs are starting to usher in a new form of social commerce that empowers both creators and collectors.”
She also noted that NFTs would also powerfully fuel small and medium-sized businesses by allowing them to sell digital goods instead of physical ones that incur high production and distribution costs.
Sheffield noted that Visa had always enabled secure commerce for individuals and businesses that will now extend to new forms of digital commerce. She said:
“In the near term, we want to help brands and businesses better understand NFTs and how they might be harnessed for customer and fan engagement. To that end, we published a paper with observations on today’s NFT landscape, as well as actionable guidance on how to evaluate and scale NFT opportunities.
Looking ahead, we’re working on some new concepts and partnerships that support NFT buyers, sellers, and creators. We look forward to sharing more in the months ahead.”