Tala is a company that currently counts on 6 million clients focused on people outside the formal economy. Transactions with USDC would happen in fiat money at the time of payment.
Tala, a platform that operates in Mexico and other countries, announced a partnership with Visa, Stellar Foundation and Circle, to allow its users to pay for services with the stablecoin USD Coin (USDC) using a debit card.
The main purpose of this startup is to serve as a provider of financial services to people who cannot properly access banks. If this initiative comes to real terms, its users could pay with Visa in any of the 70 million businesses that accept their cards.
Tala, through its agreement with Visa, announced in a press release on the company’s website that it will allow its customers to use a card to make payments with USDC, a stablecoin “tied” to the value of the dollar, so it lacks the volatility of most cryptocurrencies.
The purchase would not happen directly in the cryptocurrency, but the cryptocurrency would face a conversion into fiat money when processing the transaction.
The Partnership Protocol will Grant Tala the Ability to Initiate a Digital Wallet for USDC
Moreover, the partnership with the Circle exchange and Stellar Development’s payment protocol will grant Tala the ability to initiate a digital wallet for USDC in its app. Circle is precisely the company that develops USDC, while Stellar is the operator of one of the blockchains on which the stablecoin works.
In addition, another chance for Tala clients will be the international transfer of USDC quickly and with lower commissions. Both the transactions and the storage in the wallet are “safe and stable” and allow easy exchange with fiat money, according to the information the company recently provided.
Tala is a financial services startup founded in 2014 that has a list with more than 6 million clients in Mexico, India, Kenya, and the Philippines. According to the announcement the company made, more than 3,000 million people around the world find it hard to access the formal economy, which includes the possession of bank accounts, among other privileges.
Visa’s Work with Cryptocurrencies
Shivani Siroya, CEO and founder of the company, said that “digital currencies have a monstrous potential to open access to financial services and set control directly over the unbanked population.”
For his part, Cuy Sheffield, director of the cryptocurrency area at Visa, said that they are very excited to partner with the Tala team to bring the benefits of the cryptocurrency economy to the people who need them most.”
Visa’s work with cryptocurrencies like USD Coin has been happening for a long time. In December 2020, this multinational giant joined forces with Circle to acquire the possibility to include USDC among currencies to consolidate payments at affiliated businesses around the world.
In addition to this project, the company is in charge of frequently clarifying its interest in entering the world of cryptocurrencies. Thus, its CEO, Al Kelly, has recently explained all the alternatives that they offer to their users today to buy, sell and use their crypto assets.
By: Jenson Nuñez
