Ethereum founder Vitalik Buterin highlighted the connection between the original ideas of Visa's founder Dee Hock and the principles of cryptocurrencies and decentralized autonomous organizations (DAOs).
Original Vision of Visa
Visa was initially conceived as a non-stock membership organization with distributed power and diversity. However, following its IPO in 2007, Visa transformed into a for-profit public company.
Criticism of Modern Visa Practices
Buterin notes that many cryptocurrency proponents today view Visa as 'extractive' and 'oppressive.' High fees and the ability to block transactions have come under scrutiny, as they are necessary to satisfy shareholder demands. Visa's market dominance also allows it to increase fees.
Visa's Strategy in the Cryptocurrency Space
Visa has adapted to the cryptocurrency market by launching pilot projects using the USDC stablecoin and integrating Web3 technologies for streamlined transactions. This shift in direction indicates that the company aims to leverage the growing cryptocurrency sector rather than oppose it.
Thus, Dee Hock's vision of equitable power distribution, akin to the original goals of Visa, contrasts with the contemporary state of the company while also opening new opportunities for engagement with cryptocurrencies.
