• Visa recently tested a solution allowing users to pay on-chain gas fees directly through their credit cards.
• The experiment was conducted on the Ethereum Goerli testnet, and its primary motivation was to address challenges when paying gas fees.
• If widely adopted, this move could simplify how we perceive and use digital currencies in our daily transactions.
Visa Tests Solution for Direct Payments of On-Chain Gas Fees
Visa, the global payments leader, recently tested an experimental solution allowing users to pay on-chain gas fees directly through their credit cards. The experiment was conducted on the Ethereum Goerli testnet with the aim of simplifying blockchain transactions by addressing challenges faced by cryptocurrency wallet users when paying gas fees.
Eliminating the Need for Native Blockchain Tokens
The feature would eliminate the need for users to hold native blockchain tokens solely for gas fees, making it more straightforward and user-friendly. Additionally, it provides transparency in the maximum fees for users, preventing them from paying substantial gas fees when networks are congested.
Making Crypto Transactions Easier Than Traditional Financial Transactions
Enabling people to pay for gas fees with crypto is a step towards making blockchain and cryptocurrency interactions as seamless and straightforward as traditional financial transactions. This could revolutionize how we perceive and use digital currencies in our daily transactions if widely adopted.
How Does It Work?
Utilizing Ethereum’s ERC-4337 standard and a paymaster contract, this approach promises to simplify blockchain transactions. A paymaster contract is a specialized type of smart contract account that can accept off-chain payments and cover the equivalent amount on-chain on behalf of the user.
Conclusion
Visa’s solution for direct payment of crypto gas fees may revolutionize how we use digital currencies in our daily lives if widely adopted – eliminating the need to hold native tokens solely for gas fee payments while providing transparency into maximum fee amounts during network congestion periods.