Behind the Suspension of Infini U Card Business: Weighing and Prospects

In mid-June, the cryptocurrency startup Infini announced the shutdown of all card services, drawing attention from the industry. This is not an isolated case, as several well-known U card service providers have exited in the past two years.

Christine, co-founder of Infini, explained that the shutdown of the U Card business is mainly due to high compliance costs, thin profits, and significant operational pressure. The company will focus on wealth management and asset management, and explore decentralized payment solutions.

Christine admitted that this decision was made after careful consideration. Despite accumulating a large number of users, the team believes that the U Card is not a sustainable long-term development path.

The two main reasons for shutting down the U Card business point directly to the pain points of the industry:

1. Heavy cost structure

The U card business is facing high costs for KYT, KYC, card sets, banks, operations, and compliance. Christine stated, "We have no profits in the U card business, only costs."

2. Misaligned Vision and Reality

The U card struggles to achieve the vision of being a "bridge from the encrypted world to real-world payments." It lacks an effective profit model and the user experience is not on par with Web 2.0 products.

Christine believes that U Card's approach of converting stablecoins into fiat currency fails to tap into the potential of crypto payments, and is instead a "regression" for the industry. She emphasizes that the ultimate goal of crypto payments is for users to directly use stablecoins for transactions, rather than relying on fiat currency channels.

Looking to the future, Infini will focus on two directions:

1. Strengthen the financial product line to establish a sustainable income base.
2. Explore the true decentralized cryptocurrency payment path

Christine stated that Infini will move forward in the posture of a long-term entrepreneur and is firmly optimistic about the prospects of cryptocurrency payments. She hopes the company can maintain steady revenue and achieve substantial progress in the field of cryptocurrency payments.

Despite facing challenges, Infini is accumulating valuable experience and steadily advancing technological innovation and business expansion. The team is working hard to create more efficient and convenient payment solutions, which may have a profound impact on the cryptocurrency payment industry.