Visa has announced a partnership with WeFi, a blockchain-based stablecoin infrastructure firm co-founded by Reeve Collins, a former Tether executive. The goal of this collaboration is to establish a comprehensive on-chain payment and banking infrastructure, particularly for the underbanked population globally.
WeFi's platform is designed to bridge the gap between decentralized finance and traditional payment systems, facilitating cross-border transactions and on-chain value storage. According to Collins, the platform will offer users virtual bank accounts, complete with IBAN numbers, and will obtain necessary licenses to operate in various regions.
The partnership plans to expand its services regionally, starting with Europe, Asia, and Latin America, and will eventually partner with more banks and institutions to cater to the underbanked. The rollout will be dependent on local regulatory approvals and partnerships. Collins emphasized that the partnership with Visa completes the 'last half mile' of on-chain banking infrastructure, while Mathieu Altwegg, Head of Product & Solutions in Europe at Visa, highlighted the collaboration as a demonstration of how Visa's global network can interact with on-chain models while adhering to established regulatory frameworks and reliability standards.