Visi Money
TLDR:
- Visa has completed its acquisition of cloud-based fintech startup Pismo for $1.2 billion.
- Pismo’s technology enables banks and financial institutions to build and launch digital banking products.
Visa has finalized its acquisition of Pismo, a cloud-based financial technology startup, for $1.2 billion. Pismo has developed a suite of cloud-native APIs and microservices that allow banks and financial institutions to rapidly build and launch digital banking products, including account opening, payments, and card issuing. With this acquisition, Visa aims to expand its offerings to its financial services partners and provide them with core banking, card issuing, and real-time payments capabilities through modern cloud-based APIs.
Pismo will continue to operate as a Visa subsidiary led by its existing management team. The combination of Visa and Pismo’s technology will enable clients to launch innovative payments and banking products within a single cloud-native platform, irrespective of network, geography, or currency. This acquisition reflects Visa’s strategy to move beyond card payments into broader financial infrastructure services, as legacy systems struggle to keep up with the growth of online and mobile banking. The finalized purchase expands Visa’s addressable market and product portfolio for financial institutions as they transition from legacy to cloud-based infrastructure.
Visa’s acquisition of Pismo comes after the company announced the launch of Visa Web3 Loyalty Engagement, a new digital loyalty solution that merges Web 2 and Web 3 technologies. This move aligns with Visa’s efforts to broaden its product range and leverage the concepts of decentralization. In 2023, Visa’s shares on the NYSE grew 25%, making it one of the company’s best years on the stock market. Since its debut in 2008, Visa’s shares have only recorded negative years four times, with a total return on investment exceeding 2000% from day one.
