New Blockchain-based Visa Token Service Set To Launch in 2020 – Set to Reach $1 Trillion
Visa, the world’s largest digital payment platform Visa is to launch its blockchain-based Visa Token Service (VTS) would be instituted and it’s estimated that Visa will process a combined ecommerce volume of $1 trillion with the service. The Visa simplified online checkout experience will replace Visa Checkout in the US starting in January 2020 and will continue to expand globally through the end of 2020 to additional markets.
“At Visa, one of our primary goals has always been to create the best customer experience possible. As digital transaction volume grows, there has never been more urgency to build increased confidence in the seamlessness and security of online shopping,” says Jack Forestell, Chief Product Officer, Visa. “This is why Visa is committed to the success of the click to pay experience and the added level of security that tokens bring to electronic payments.”
Starting January 21, active Visa Checkout merchants in the US will transition to a new, easy, smart and secure online shopping experience for card payments across the web and mobile sites, mobile apps and connected devices. Consumers can leverage the click to pay experience when using their Visa card to make a purchase wherever they see a click to pay button where Visa is accepted.
On sites displaying a click to pay button, consumers that have enabled their card will no longer have to enter a 16-digit primary account number, look up passwords or fill out long forms to make a purchase. Consumers paying with their Visa card where they see a click to pay button where Visa is accepted, will also be able to pay with confidence knowing Visa will be using advanced technology and authentication methods, including device binding and biometrics to protect transactions. The click to pay experience is also interoperable with the EMVCo tokenization specification and with the 3-D Secure specification to bring more of today’s most advanced security methods to emerging and existing digital payments channels.
The Visa Token Service has been in development since the middle of 2019 when Yahoo reported Visa’s intention to purchase the blockchain tokenization firm Bell ID from Rambus.
Visa’s new Blockchain-based system allows them to securely tokenize assets with bank-grade encryption in minutes and the move is the next step in Visa’s blockchain strategy which began with the tokenization of sensitive information, in particular, to remove the need to share private information with third-parties directly.