Visa to block memecoin credit card rewards by reclassifying purchases from 'digital media' category, following The Block investigation
The move will stop users from earning ordinary points or cash back on memecoin purchases, which were previously categorized under the merchant category code (MCC) 5815, typically used for streaming movies or audiobooks. Visa has given payment processors, including Checkout.com (which facilitates transactions for apps like Fomo and Robinhood Wallet via Crossmint), a grace period expected to end next week, after which memecoin purchases will be subject to standard cryptocurrency transaction restrictions. The Block's September 1 investigation highlighted this loophole, prompting concerns from Chase and the New York Attorney General's office.
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Source:The Block · Source Link
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