Visa Cracks Down on Memecoin Rewards
Visa has issued new guidance requiring credit-card payments for memecoins to be classified as standard cryptocurrency transactions, rather than digital media. This change could potentially limit existing points and cashback perks for users who make these purchases.
The move was announced after Visa told Crossmint and Checkout.com that treating memecoin purchases as digital media is no longer appropriate. This classification allowed users to earn rewards on their card payments just like they would with ordinary purchases.
Visa has given payment companies a grace period, but could require memecoin purchases to be classified as standard crypto transactions as early as next week. This change would also bring the transactions under Visa's restrictions on cryptocurrency payments.