Visa recently ended its partnership with the large cryptocurrency provider as of Friday, January 5th, causing thousands of people’s transactions to be declined, and many in a rush to figure out where there money has gone. The provider of the card known as WaveCrest, stated in an email that they were required to immediately close all Visa cards.
They stated that “as a licensed e-money institution, WaveCrest is required to safeguard funds to cover all of its issued electronic money and we can confirm that these funds are safe and available for redemption through other channels.” The payment network Visa, has yet to respond to this and continues to keep many in the dark. WaveCrest worked with several providers to offer these cards such as Bitwala, Cryptopay and more. These companies worked by converting people’s cryptocurrency into cash so that they could use it in a card format.
These cards have since become invalid given the statement above. The co-founder of a card company Dmitry Lazarichev stated that he has received a large amount of calls from many frantic customers. He stated that “all the cards were shut down in one second. We asked for more information, but they haven’t provided any.” The company TenX has been attempting to reassure customers that their money is not gone as they thought, but rather able to be redeemed with more information coming soon. Many people have put a large amount of money on these cards, so to simply leave them in the dark is understandably frustrating at the least. With a market on cryptocurrency currently living in a world of illegitimacy, it only takes instances like this to keep the reputation going. The hopes are high that this can be resolved and that those who had the card can easily get their money back.