4 ms·
To also be fair, most of VISA is overhead and marketing. Only a tiny fraction of the costs have anything to do with the actual network. Also, the most importa
by jollybean 5y ago
To also be fair, most of VISA is overhead and marketing.
Only a tiny fraction of the costs have anything to do with the actual network.
Also, the most important thing, is power and incumbency.
VISA made sense 50 years ago - it was a financial innovation.
But now, they refuse to adapt their pricing, and the cost is just not worth it.
The Banks are raking it in in processing charges that are not commensurate to the value created.
This is actually the 'true hope' of Crypto, that we can get around ugly costs.
Do you know when smartphones first started, Verizon and AT&T were charging 5 cents each to visit those stupid little WAP pages with a bit of text and a few combo boxes?
Imagine if the internet was ruled by Verizon and AT&T and their 5-cents-per-visit crap pages.
I loathe BTC and most of the Crypto world because it's all MLM, but, as a currency there's definitely material opportunity there.
- pwinnski 5y agoProcessing charges? Compared to what? The processing charges of BTC or ETH?
- jollybean 5y agoEvery single digital transaction visa VISA/MC etc. is taking 2-3% off the top. That's ridiculous. Those fee structures were designed for an alternate universe. It made sense in 1970 - not on the internet today. If we invented an 'interbank exchange' scheme today, which would probably include some decent form of identity management, it could operate at less than 1/10th of that fee. The entire industry, which is controlled by the banks, is pure incumbency. Not only is there value lost to that tax, but that network holds transactions back to some extent. The real economic value of crypto is there, not in the current form of deflationary shenanigans.