LoopPay, which makes a mobile wallet solution that can complete mobile payments with existing magnetic-strip point-of-sale (POS) equipment, Thursday announced that Visa has invested in the technology.
According to a press release, the investment is part of a larger strategic funding round for LoopPay, announced earlier this month, which includes Synchrony Financial and other strategic partners not yet named.
LoopPay invented something called Magnetic Secure Transmission (MST) technology which leverages existing point-of-sale infrastructure to receive contactless payments from mobile devices of all kinds with no hardware changes required by merchants.
Jim McCarthy, senior vice president of innovation and strategic partnerships at Visa said in a statement that his company continually evaluates and invests in new technologies.
“LoopPay has developed compelling technology that has the potential to enable merchants to accept payments from mobile devices using their existing point-of-sale infrastructure,” McCarthy said.
Terms of the investment were not disclosed.
LoopPay recently announced the availability of its latest consumer product, the LoopPay ChargeCase, which enables mobile payments through an iPhone 5 and 5s case that also extends the iPhone’s battery life by up to 60 percent. The company initially came to market with key FOB that acts as a mobile wallet.
Read a Review of Loop’s Wallet HERE.