Ripio launches DeFi credit card in partnership with Visa

Ripio has announced the launch of the world’s first decentralized finance (DeFi) credit card, in partnership with Visa. The announcement was made during the Modular Summit, held in São Paulo, and represents a milestone for the decentralized finance (DeFi) sector.

According to Ripio CEO Sebastián Serrano, the new product will allow users to access the DeFi ecosystem in a simplified and practical way, without the need to interact directly with technical protocols.

“Our goal is to provide an experience similar to other mobile apps, where DeFi protocols and programmable money work behind the scenes, but in a simple way, without requiring the user to sign multiple transactions,” explained Serrano.

The new credit card, called the “On-Chain Credit Card,” will allow users to hold their crypto assets as collateral, facilitating access to credit in the decentralized finance system.

Ripio DeFi Credit Card

The difference with the card launched by Ripio is its integration with the DeFi universe. According to Serrano, users will be able to use their crypto assets as collateral to obtain credit instantly and automatically.

“When the user makes a purchase, the system will automatically request a loan from a DeFi protocol, exchanging the crypto assets for local currency to complete the transaction,” he said.

This system eliminates the need to manually sell digital assets and allows the user to maintain their investments while using credit.

Ripio is developing its own protocol, called Capify, based on Compound technology, one of the main DeFi protocols on the market. As highlighted by Ripio’s CEO, the focus is to ensure greater security and robustness to the system. In addition, the goal is to minimize the risks of common vulnerabilities in open protocols.

Serrano also highlighted the advantages of DeFi compared to the traditional financial system. He mentioned, in particular, markets like Brazil, where credit rates are high.