{"id":56430,"date":"2023-08-11T08:04:15","date_gmt":"2023-08-11T12:04:15","guid":{"rendered":"https:\/\/coinscreed.com\/staging\/?p=56430"},"modified":"2023-08-11T08:08:14","modified_gmt":"2023-08-11T12:08:14","slug":"visa-card-users-can-now-pay-gas-fees-on-ethereum","status":"publish","type":"post","link":"https:\/\/coinscreed.com\/staging\/visa-card-users-can-now-pay-gas-fees-on-ethereum\/","title":{"rendered":"Visa Card Users Can Now Pay Gas Fees on Ethereum"},"content":{"rendered":"\n<p>Visa is experimenting with a solution that allows users to pay gas fees on Ethereum transactions with their Visa cards, using the <a href=\"https:\/\/coinscreed.com\/staging\/ethereum-launches-erc-4337-smart-accounts.html\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">ERC-4337 standard<\/a> and the Paymaster smart contract.<\/p>\n\n\n\n<figure class=\"wp-block-image aligncenter size-full is-resized\"><img fetchpriority=\"high\" decoding=\"async\" src=\"https:\/\/coinscreed.com\/staging\/wp-content\/uploads\/2023\/08\/Visa-crypto.jpg\" alt=\"Visa Card Users Can Now Pay Gas Fees on Ethereum\" class=\"wp-image-56433\" style=\"width:730px;height:411px\" width=\"730\" height=\"411\" srcset=\"https:\/\/coinscreed.com\/staging\/wp-content\/uploads\/2023\/08\/Visa-crypto.jpg 880w, https:\/\/coinscreed.com\/staging\/wp-content\/uploads\/2023\/08\/Visa-crypto-300x169.jpg 300w, https:\/\/coinscreed.com\/staging\/wp-content\/uploads\/2023\/08\/Visa-crypto-768x432.jpg 768w, https:\/\/coinscreed.com\/staging\/wp-content\/uploads\/2023\/08\/Visa-crypto-750x422.jpg 750w\" sizes=\"(max-width: 730px) 100vw, 730px\" \/><\/figure>\n\n\n\n<p>Visa\u2019s Solution for <a href=\"https:\/\/usa.visa.com\/solutions\/crypto\/paying-blockchain-gas-fees-with-card.html\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">Gas Fee Payment<span class=\"wpil-link-icon\" title=\"Link goes to external site.\" style=\"margin: 0 0 0 5px;\"><svg width=\"24\" height=\"24\" style=\"height:16px; width:16px; fill:#000000; stroke:#000000; display:inline-block;\" viewBox=\"0 0 24 24\" version=\"1.1\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" xmlns:svg=\"http:\/\/www.w3.org\/2000\/svg\"><g id=\"wpil-svg-outbound-7-icon-path\" fill=\"none\" clip-path=\"url(#clip0_31_188)\">\r\n                            <path d=\"M9.16724 14.8891L20.1672 3.88908\" stroke-linecap=\"round\"\/>\r\n                            <path d=\"M13.4497 3.53554L20.5208 3.53554L20.5208 10.6066\" stroke-linecap=\"round\" stroke-linejoin=\"round\"\/>\r\n                            <path d=\"M17.5 13.5L17.5 16.26C17.5 17.4179 17.5 17.9968 17.2675 18.4359C17.0799 18.7902 16.7902 19.0799 16.4359 19.2675C15.9968 19.5 15.4179 19.5 14.26 19.5L7.74 19.5C6.58213 19.5 6.0032 19.5 5.56414 19.2675C5.20983 19.0799 4.92007 18.7902 4.73247 18.4359C4.5 17.9968 4.5 17.4179 4.5 16.26L4.5 9.74C4.5 8.58213 4.5 8.0032 4.73247 7.56414C4.92007 7.20983 5.20982 6.92007 5.56414 6.73247C6.0032 6.5 6.58213 6.5 7.74 6.5L11 6.5\" stroke-linecap=\"round\"\/>\r\n                        <\/g>\r\n                        <defs>\r\n                            <clipPath id=\"clip0_31_188\">\r\n                                <rect fill=\"white\" height=\"24\" width=\"24\"\/>\r\n                            <\/clipPath>\r\n                        <\/defs><\/svg><\/span><\/a> Visa\u2019s solution uses the ERC-4337 standard, which enables account abstraction on Ethereum, and the <a href=\"https:\/\/docs.chainstack.com\/docs\/zksync-tutorial-develop-a-custom-paymaster-contract\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">Paymaster smart contract,<span class=\"wpil-link-icon\" title=\"Link goes to external site.\" style=\"margin: 0 0 0 5px;\"><svg width=\"24\" height=\"24\" style=\"height:16px; width:16px; fill:#000000; stroke:#000000; display:inline-block;\" viewBox=\"0 0 24 24\" version=\"1.1\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" xmlns:svg=\"http:\/\/www.w3.org\/2000\/svg\"><use href=\"#wpil-svg-outbound-7-icon-path\"><\/use><\/svg><\/span><\/a> which allows third parties to pay for transactions on behalf of users. <\/p>\n\n\n\n<p>The solution works as follows:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>The user initiates an Ethereum transaction through their wallet, which is sent to the Paymaster.<\/li>\n\n\n\n<li>The Paymaster communicates with a web service that calculates the gas fee and charges Visa using Cybersource, a payment service provider owned by Visa.<\/li>\n\n\n\n<li>The web service provides a digital signature that is temporarily validated and attached by the wallet before being sent to Ethereum.<\/li>\n\n\n\n<li>The Paymaster verifies the signature and covers the gas fee with ETH from its balance.<\/li>\n<\/ul>\n\n\n\n<p>This process allows the user to directly pay gas fees with their Visa card off-chain, eliminating the need for users to hold ETH merely for paying fees. <\/p>\n\n\n\n<p>According to Mustafa Bedawala, a product manager at Visa, this solution aims to address the challenge of managing Ether balances to cover gas fees, which can be complex and inconvenient for users.<\/p>\n\n\n\n<figure class=\"wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter\"><div class=\"wp-block-embed__wrapper\">\n<div class=\"embed-twitter\"><blockquote class=\"twitter-tweet\" data-width=\"550\" data-dnt=\"true\"><p lang=\"en\" dir=\"ltr\">We&#39;re excited to share our experimental solution on Paying Onchain Gas Fees with a Visa Card <br><br>At <a href=\"https:\/\/twitter.com\/Visa?ref_src=twsrc%5Etfw\" target=\"_blank\" rel=\"noopener\">@Visa<span class=\"wpil-link-icon\" title=\"Link goes to external site.\" style=\"margin: 0 0 0 5px;\"><svg width=\"24\" height=\"24\" style=\"height:16px; width:16px; fill:#000000; stroke:#000000; display:inline-block;\" viewBox=\"0 0 24 24\" version=\"1.1\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" xmlns:svg=\"http:\/\/www.w3.org\/2000\/svg\"><use href=\"#wpil-svg-outbound-7-icon-path\"><\/use><\/svg><\/span><\/a>, we&#39;ve been exploring ways to simplify blockchain transactions<br><br>Imagine paying for gas fees as easily as buying coffee with your card! <br><br>But how did we get here?<br><br>\ud83e\uddf5\ud83d\udc47 <a href=\"https:\/\/t.co\/uGhAde60xe\" target=\"_blank\">pic.twitter.com\/uGhAde60xe<span class=\"wpil-link-icon\" title=\"Link goes to external site.\" style=\"margin: 0 0 0 5px;\"><svg width=\"24\" height=\"24\" style=\"height:16px; width:16px; fill:#000000; stroke:#000000; display:inline-block;\" viewBox=\"0 0 24 24\" version=\"1.1\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" xmlns:svg=\"http:\/\/www.w3.org\/2000\/svg\"><use href=\"#wpil-svg-outbound-7-icon-path\"><\/use><\/svg><\/span><\/a><\/p>&mdash; Mustafa (@digitalmustafa) <a href=\"https:\/\/twitter.com\/digitalmustafa\/status\/1689741716084215809?ref_src=twsrc%5Etfw\" target=\"_blank\" rel=\"noopener\">August 10, 2023<span class=\"wpil-link-icon\" title=\"Link goes to external site.\" style=\"margin: 0 0 0 5px;\"><svg width=\"24\" height=\"24\" style=\"height:16px; width:16px; fill:#000000; stroke:#000000; display:inline-block;\" viewBox=\"0 0 24 24\" version=\"1.1\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" xmlns:svg=\"http:\/\/www.w3.org\/2000\/svg\"><use href=\"#wpil-svg-outbound-7-icon-path\"><\/use><\/svg><\/span><\/a><\/blockquote><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/div>\n<\/div><\/figure>\n\n\n\n<p>Visa has tested this concept on the <a href=\"https:\/\/goerli.net\/\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">Ethereum Goerli testnet, <span class=\"wpil-link-icon\" title=\"Link goes to external site.\" style=\"margin: 0 0 0 5px;\"><svg width=\"24\" height=\"24\" style=\"height:16px; width:16px; fill:#000000; stroke:#000000; display:inline-block;\" viewBox=\"0 0 24 24\" version=\"1.1\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" xmlns:svg=\"http:\/\/www.w3.org\/2000\/svg\"><use href=\"#wpil-svg-outbound-7-icon-path\"><\/use><\/svg><\/span><\/a>using open-source tools like Stackup\u2019s userop.js library. The test transactions successfully covered fees through the Paymaster without requiring ETH from the user.<\/p>\n\n\n\n<p>Visa\u2019s Potential Impact on Crypto Users and Merchants Visa\u2019s solution has the potential to reduce friction for blockchain users and increase the adoption of crypto wallets and applications. <\/p>\n\n\n\n<p>By allowing users to pay gas fees with their Visa cards, Visa\u2019s solution simplifies the user experience. Also, it removes a barrier to entry for new users who may not have ETH or know how to acquire it.<\/p>\n\n\n\n<p>Additionally, Visa\u2019s solution could also enable merchants or decentralized applications to use the Paymaster framework to improve customer interactions by facilitating gas fee payments using Visa cards. <\/p>\n\n\n\n<p>This could create new use cases and revenue streams for merchants and developers who want to offer crypto-related services or products.<\/p>\n\n\n\n<p>Visa\u2019s solution is also part of its broader vision to support the growth and innovation of the crypto ecosystem. <\/p>\n\n\n\n<p>Visa has been actively exploring and investing in various crypto projects and platforms, such as <a href=\"https:\/\/coinscreed.com\/staging\/xsolla-partners-with-crypto-com-to-enable-gaming-payments.html\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">Crypto.com,<\/a> <a href=\"https:\/\/coinscreed.com\/staging\/anchorage-digital-introduces-off-chain-voting-for-custody-clients.html\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">Anchorage,<\/a> <a href=\"https:\/\/coinscreed.com\/staging\/blockfi-victims-will-receive-compensation.html\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">BlockFi,<\/a> <a href=\"https:\/\/coinscreed.com\/staging\/visa-fold-jointly-broaden-their-bitcoin-rewards-program.html\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">Fold,<\/a> and <a href=\"https:\/\/coinmarketcap.com\/currencies\/zap\/\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">Zap.<span class=\"wpil-link-icon\" title=\"Link goes to external site.\" style=\"margin: 0 0 0 5px;\"><svg width=\"24\" height=\"24\" style=\"height:16px; width:16px; fill:#000000; stroke:#000000; display:inline-block;\" viewBox=\"0 0 24 24\" version=\"1.1\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" xmlns:svg=\"http:\/\/www.w3.org\/2000\/svg\"><use href=\"#wpil-svg-outbound-7-icon-path\"><\/use><\/svg><\/span><\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Visa is experimenting with a solution that allows users to pay gas fees on Ethereum transactions with their Visa cards, using the ERC-4337 standard and the Paymaster smart contract. Visa\u2019s Solution for Gas Fee Payment Visa\u2019s solution uses the ERC-4337 standard, which enables account abstraction on Ethereum, and the Paymaster smart contract, which allows third [&hellip;]<\/p>\n","protected":false},"author":44,"featured_media":56433,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[21],"tags":[202,15688,13644,9926,727],"class_list":["post-56430","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","tag-blockchain","tag-cybersource","tag-erc-4337","tag-ethereum-gas-fee","tag-visa"],"jetpack_featured_media_url":"https:\/\/coinscreed.com\/staging\/wp-content\/uploads\/2023\/08\/Visa-crypto.jpg","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/posts\/56430","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/users\/44"}],"replies":[{"embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/comments?post=56430"}],"version-history":[{"count":0,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/posts\/56430\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/media\/56433"}],"wp:attachment":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/media?parent=56430"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/categories?post=56430"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/tags?post=56430"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}