FV Bank set to launch cryptocurrency-linked Visa card programs
San Juan-based FV Bank, which has a digital asset custody license from the Office of the Commissioner of Financial Institutions (OCIF, in Spanish), announced it has been approved as a principal member of Visa.
With that certification, FV Bank is now both a full-service bank offering both traditional banking services and digital asset custody, as well as issuance of Visa cards.
“The new card issuing capability represents an evolution of FV Bank’s vertically integrated product suite to serve institutional and retail clients who transact in fiat and cryptocurrencies and who are not currently catered to by the traditional banking sector,” bank officials said.
The new Visa debit card will complement its suite of services and is planned to be available to FV bank business and individual account holders by the end of 2021 on a waitlist basis, it said in a statement.
While all existing crypto-linked card programs are on an individual basis only, FV Bank’s Visa card will give its businesses account holders the option to obtain cards for multiple authorized employees — all drawn from one business account, FV Bank CEO Miles Paschini said.
“Historically, the cards offered in the market that were somewhat compatible with digital assets have been offered only by a fragmented patchwork of program managers and non-bank FinTechs,” said Paschini.
“We’re proud to be the first bank to provide a truly vertically-integrated solution that combines digital asset custody, traditional banking, and card issuance services to our international customers,” he said.
FV bank plans to introduce credit card versions in early 2022 which will enable users “to leverage digital assets as collateral for credit lines which will be accessible via the FV Bank Visa card. There is a huge demand for customers who do not want to sell their crypto but want access to spendable funds,” said FV Bank co-founder Nitin Agarwal.
Founded in 2018 by payments entrepreneurs Paschini and Agarwal, FV Bank offers an online-only banking platform that meets the need for more open access to banking for FinTech, blockchain, and cryptocurrency companies. It serves corporate, institutional, and family office clients and their respective customers, creating a global network of connected users.
“Thanks to its global presence, partnership approach and trusted brand, Visa can help make digital currencies useful and applicable for payments,” said Luis Guerra, Country Manager Visa Puerto Rico.
“Visa’s work in the digital currency field is seen as an extension of its broader network-of-networks strategy, which is focused on enhancing various forms of money movement, whether on the Visa network or beyond,” said Guerra.
FV Bank recently closed a successful Series A funding round for $8 million, the newly injected capital has propelled the bank’s digital asset custody division and Visa principal membership.
