July 2022 has been quite a month in the African fintech space. The virtual dollar Mastercard has become a scarce product because many fintech companies have shut down their virtual dollar card services. This shutdown has in turn created widespread panic among many users, making them seek alternative means to transact.
In this piece, we address why fintechs shut down their virtual dollar card services within Africa and what it means for you.
What Is A Virtual Card?
Before we get into it, let us briefly explain what a virtual card is.
A virtual card works just like your plastic debit card. You can use it to shop anywhere and make whatever payments you want to. Yes, it is very safe, swift, and easy to use. Aside from the listed qualities, the major difference between your plastic card and a virtual card is that it is not physical. Now that we’ve explained that, let’s get into the meat of it!
The Reason For The Shutdown and How It Affects You
Virtual cards were adopted because of the imposed transaction limits on plastic debit cards. Most African countries have chosen them as more convenient transactional mediums.
As demands have continually risen, many fintech companies in Africa have been able to issue virtual cards to their customers through a Zambian company called Union54. This couple-owned company acts as an intermediary between the card-issuing company Mastercard and African fintech brands. Yeah, they are very big in this space.
Before now, Union54 had been running quite well, supporting African fintech companies until they had a glitch with Mastercard. This glitch made them suspend their virtual dollar card services to their clients.
On July 18th, Union54’s CEO Perseus made a tweet to clarify the new development. He stated that the African fintech giant needed to undergo required compliance that would take some weeks to complete. Hence, their virtual dollar card services would be shut down throughout this period. But the fact is that many end-users may not be able to wait this long because of the urgency of their transactions. This is why the next part of this article is where the juice lies.
We Have Just The Right Alternative
Yes, you cannot send money abroad or shop and pay freely because you are stuck with the virtual dollar card issue. As a matter of fact, there are hundreds of thousands of users out there, too, with similar problems.
But what if we told you that you don’t need a virtual card to make all your transactions? Yes, because Kyshi runs a cardless system that allows you to send money between the UK and 20 African countries, including Nigeria, Ghana, Kenya, Senegal, etc., with only your account details.
Also, Kyshi allows you to swap currencies at your own rates on her secure marketplace. Yeah that's right!😄 It is as simple as logging in to your Kyshi app and clicking the swap button.
One more thing! We process transactions quickly and easily at insanely low charges of 1%. It wouldn't be fair not to add that we also give bonuses of up to £140 to our Kyshi users who refer others to use Kyshi. There’s just a whole lot to gain with Kyshi. Probably we should list them out again.
Send and receive money internationally without a virtual card.
Change Naira to Pounds at your own rates using Swap.
Earn up to £140 when you refer others to use Kyshi.
Enjoy transactions at only a 1% charge. And yes, your first transaction is on us– FREE!
Sending money across international borders is an everyday activity. Hence, it should be fast, convenient and reliable. While you may seek better alternatives to the virtual dollar card, you can trust Kyshi for seamless services. Download the Kyshi app now to enjoy excellent services.