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Visa (V) Shuts Down US Open-Banking Unit Amid Regulatory Uncertainty

Visa Inc. (NYSE:V) is one of the best long-term stocks to invest in according to Warren Buffett. On August 22, the company shut down its US open-banking unit. A company spokesperson stated that Visa will now focus its open-banking strategy in high-potential markets like Europe and Latin America.

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Visa cited persistent regulatory uncertainties concerning consumer data rights and the likelihood of elevated fees associated with customer information as the reasons for the decision. The unit enabled third parties, including fintech firms, to access banking data and streamline processes for sign-ups and fund transfers.

The US Consumer Financial Protection Bureau (CFPB) had issued a final rule on “Personal Financial Data Rights” that gave Americans the right to share their financial data with third-party providers. However, under the new administration, the CFPB moved to have this rule rescinded and has begun a new process to revise the open-banking regulations. The new rulemaking process is seeking comments on issues such as fees, data security, and data privacy.

Visa will now prioritize high-potential markets like Europe and Latin America, where regulations already require banks to share data with authorized third parties. The decision marks a change from the company’s earlier strategy, which included a $5.3 billion bid for Plaid (ultimately blocked in 2021) and later acquisition of Tink in Sweden for $2 billion to bolster open-banking capabilities.

Visa Inc. (NYSE:V) is a global payments technology company. It operates one of the world’s largest electronic payment networks. The company processes billions of transactions annually through its VisaNet infrastructure and offers products including credit, debit, and prepaid cards.

While we acknowledge the potential of V to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than V and that has 100x upside potential, check out our report about this cheapest AI stock.

READ NEXT: 12 Best Mid-Cap Value Stocks to Buy Right Now and 10 Must-Buy US Stocks to Invest In.

Disclosure: None. This article is originally published at Insider Monkey.

The $250 Trillion AI Hype is Real. A few years from now, you’ll probably wish you’d bought this stock.

Dr. Inan Dogan

Dr. Ian Dogan

Co-Founder and Research Director at Insider Monkey

When Jeff Bezos said that one breakthrough technology would shape Amazon’s destiny, even Wall Street’s biggest analysts were caught off guard.

Fast forward a year and Amazon’s new CEO Andy Jassy described generative AI as a “once-in-a-lifetime” technology that is already being used across Amazon to reinvent customer experiences.

At the 8th Future Investment Initiative conference, Elon Musk predicted that by 2040 there would be at least 10 billion humanoid robots, with each priced between $20,000 and $25,000.

Do the math. According to Musk, this technology could be worth $250 trillion by 2040.

Put another way, that’s roughly equal to:

  • 175 Teslas
  • 107 Amazons
  • 140 Metas
  • 84 Googles
  • 65 Microsofts
  • And 55 Nvidias

And here’s the wild part — this $250 trillion wave isn’t tied to one company, but to an entire ecosystem of AI innovators set to reshape the global economy.

It’s a leap so massive, it could reshape how businesses, governments, and consumers operate worldwide.

Even if that $250 trillion figure sounds ambitious, major firms like PwC and McKinsey still see AI unlocking multi-trillion-dollar potential.

How could anything be worth that much?

The answer lies in a breakthrough so powerful it’s redefining how humanity works, learns, and creates.

And this breakthrough has already set off a frenzy among hedge funds and Wall Street’s top investors.

What most investors don’t realize is that one under-owned company holds the key to this $250 trillion revolution.

In fact, Verge argues this company’s supercheap AI technology should concern rivals.

Before I reveal the details, let’s talk about how some of the richest people on the planet are positioning themselves.

  • Bill Gates sees artificial intelligence as the “biggest technological advance in my lifetime,” more transformative than the internet or personal computer, capable of improving healthcare, education, and addressing climate change.
  • Larry Ellison — through Oracle, is spending billions on Nvidia chips and partnering with Cohere to embed generative AI across Oracle’s cloud and apps.
  • Warren Buffett — not known for tech hype — says this breakthrough could have a ‘hugely beneficial social impact.

When billionaires from Silicon Valley to Wall Street line up behind the same idea — you know it’s worth paying attention to.

Even as we admire what Tesla, Nvidia, Alphabet, and Microsoft have built, we believe an even greater opportunity lies elsewhere…

But the real story isn’t Nvidia — it’s a much smaller company quietly improving the critical technology that makes this entire revolution possible.

And judging by what I’m hearing from both Silicon Valley insiders and Wall Street veterans…

This prediction might not be bold at all:

A few years from now, you’ll wish you’d owned this stock.

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Wall Street calls this $3 stock a “Melting Ice Cube.” They said the same thing about BTI before it returned 90%.

Dr. Inan Dogan

Dr. Ian Dogan

Co-Founder and Research Director at Insider Monkey

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We alerted our subscribers, and BTI returned 90% in just 16 months.

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Today, we have identified a nearly identical pattern in a digital-first giant trading at $3.

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