NEW YORK (TheStreet) -- Visa (V) today launched its new digital payment service, called Visa Token Service, that offers users a secure online digital numeric identification that doesn't contain the user's account information and replaces 16 digit credit card numbers with the new digital identification.
The service was announced an hour after Apple (AAPL) unveiled Apple Pay, its new digital payment service.
Visa's new token service will be available on Apple's upcoming iPhone 6, iPhone 6 Plus and iWatch products, and work in conjunction with Apple Pay.
"The combination of new digital experiences from Apple with new network capabilities from Visa provides for great payment experiences and enhanced security for millions of Visa account holders, merchants and financial institutions," said Visa CEO Charlie Scharf, adding that "combining the trust, scale and security of Visa payments with Apple Pay will accelerate adoption of mobile payments."
Visa shares closed trading down 0.6% to $214.36 on Tuesday.
TheStreet Ratings team rates VISA INC as a Buy with a ratings score of A. TheStreet Ratings Team has this to say about their recommendation:
"We rate VISA INC (V) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures, growth in earnings per share, expanding profit margins and solid stock price performance. We feel these strengths outweigh the fact that the company shows weak operating cash flow."