The ERC-4337 token standard enables paying fees on the Ethereum network using a Visa card and fiat money. The solution is already being tested on the Goerli network.
The Crypto Protocol, Visa Innovation Centre, and Visa Research teams held an internal hackathon resulting in a solution that provides the ability to pay for gas on the Ethereum network using fiat funds on a Visa card.
The technology is based on ERC-4337 tokens. With its help, the developers created a Paymaster smart contract on the Goerli testnet, which enables payment of fees outside the blockchain network. Cybersource was used as an intermediary in payment processing.
The solution proposed by Visa specialists involves several steps:
- A user initiates a transaction on the Ethereum network via a cryptocurrency wallet.
- The Cybersource service calculates the gas fee and charges its equivalent in fiat funds from the Visa card account.
- Once the gas fee is paid, a digital signature is created, which is instantly verified and attached by the wallet to the transaction.
- Paymaster verifies the signature and covers the gas fee, after which the transaction is sent to the Ethereum mempool for processing.
The developers used Stackup’s userop.js library to implement the technology that enabled the use of Paymaster. The report cites various uses for the technology in user-to-user transactions and the operation of dApps. According to the researchers, the ability to pay for gas on the Ethereum network using a Visa card will significantly improve the user experience.
The primary purpose of the technology is to create an environment where the need for constantly monitoring the ETH balance in the account in order to use services in the Ethereum ecosystem will disappear. This problem is indeed a pressing one in many contexts, that’s why CP Media recently provided detailed instructions on how to buy ETH using the most popular non-custodial crypto wallets.