Visa Stop Partnerships With FTX Kegara Muncul Kabar Bangkrut

Visa stops partnerships with FTX. (photo: Twitter @visa)

JAKARTA - Just a month after payment giant Visa announced a partnership with FTX to launch a debit card program in 40 countries around the world, Visa has now suddenly ended the program. The issue of bankruptcy at FTX recently became the main cause.

The FTX liquidity issue arose last week when Binance CEO Changpeng CZ Zhao announced that Binance would liquidate the entire ownership of the FTX Token (FTT), which caused an accidental bank run that brought about FTX liquidity problems.

In October, when news about the FTX and Visa partnership circulated online, the original cryptocurrency of the FTX trading platform, FTT, jumped about 7%, hitting a high of 25.62 US dollars. After a recent turnaround, FTT is currently trading at 1.89 US dollars.

Things quickly rotated for a well-puted cryptocurrency exchange, FTX, and it's no surprise that companies like Visa, seeking to distance themselves from the humiliated platform.

The situation with FTX is unfortunate and we are monitoring its development closely. In all our efforts, in digital currency and beyond, our focus is on security and fixed trust at most. We have terminated our global agreement with FTX and their US debit card program was stopped by their publisher," a Visa spokesperson told Cointelegraph.

Visa is not the only company to cut ties with FTX. On November 11, Cointelegraph shared that the CyseC's Securities and Exchange Commission, or CySEC, reportedly issued a statement amid the FTX filing for bankruptcy according to Chapter 11 in the United States asking for exchanges to stop operations for its branches in Europe.

In another example, Plaid, a fintech company that facilitates communication between financial services applications, and user banks as well as credit card providers, suspended FTX US access to its products, citing on public reports' of fraudulent activities.