Visa network drops some cryptocurrency-backed debit cards

The card provider confirmed in an email to CNBC that it was required “to immediately close all Visa cards”, according to CNBC. Wavecrest provided its services to a number of crypto-card companies, including Bitwala, Cryptopay, Wirex and TenX. These companies convert users’ cryptocurrencies into cash that is loaded on to a prepaid card, allowing people to use the currency for everyday transactions.

The co-founder of Wirex said he has received thousands of calls from frantic customers. He said his company has issued some 500,000 cryptocurrency debit cards to people across the world, although not in the US, the online publication continues.

TenX, another cryptocurrency card company affected, tried to reassure users.

Commenting on this situation, Visa said that their actions were not specific to cryptocurrency, “but rather reflect the issuer’s failure to comply with Visa’s policies that ensure the safety and integrity of our payment system.”