Visa is continuing its march into Web3 by partnering with ShopNEXT to launch a Web3 Loyalty Program. Now anyone with a Visa card can earn token rewards from their purchases.
The program works by utilizing the card-link feature of the Visa Offers Platform, which enables users to link a Visa card to their mobile app. ShopNEXT will track all successful card payment transactions through VisaNet and reward users with instant ShopNEXT tokens — an exchangeable loyalty token developed on the Binance blockchain.
Through ShopNEXT’s External Profit Reserve (EPR) model, 100% of the profit from merchants and sales commissions on card issuers will be sent back to EPR to back the tokens on the market and give them value. Besides the Shop-To-Earn model, ShopNEXT is also introducing in-app NFT cards and gameplay that users can earn rewards on.
CEO of ShopNEXT, Mr. Linh Le, said that he was excited to “leverage the beauty of Web3 to create an appealing Loyalty platform” with Visa. He believes the partnership will help his Web3 Shop-To-Earn model acquire new merchants and users “efficiently.”
ShopNEXT also said its instant rewards program solves the frustrating problem of reconciliation time for loyalty program rewards, and that combining NFT gameplay with a rewards program based on spending activities could create a new movement in the NFT space.
Payment Companies Focus on Web3
Visa partnering with Web3 platform ShopNEXT to bring NFT and crypto-based rewards to shoppers is big news. But Visa isn’t the only payment company that’s shifted its focus to Web3 this year. At Rarity Sniper, we’ve covered several payment companies investing in Web3, blockchain technology, and the metaverse. Here are some of our top stories.
Seven months ago, American Express applied for seven trademarks related to Web3 and the metaverse. According to language in the applications, the payment processor giant intends to offer services related to NFTs, crypto, virtual banking, and exchange services.
In May, Capital One followed suite by filing for three trademark applications in Web3. The trademarks were to protect its name, slogan, and logo from infringement in the metaverse, and for purposes related to NFTs and related media, metaverse banking, metaverse business software, and virtual credit cards.
Lastly, in June, Mastercard announced it was partnering with seven leading NFT and metaverse platforms. Customers visiting Immutable X, Candy Digital, The Sandbox, Mintable, Spring, Nifty Gateway, and MoonPay can now use their Mastercard to make a purchase.
Despite the competition from payment processors, the latest move from Visa could put it ahead of the pack in Web3. We’ll have to wait to see if the Loyalty Program with ShopNEXT is popular with users. But considering it gives them the chance to earn valuable token rewards for shopping activities they’re likely already engaged in, we think there’s a good chance it will be.