Originally Posted by
rasheed
I believe Chase can also private network route and approve transactions, but it does seem that Chasenet might just be still an underlying Visa-ran infrastructure, which would make sense from many angles. I also still claim that Chase could get Kroger to accept only Chase-branded Visa credit cards without Visa forcing some honor all cards rule legal response. The best way to do that is through the distinctive QR code method (which I think does list different on those Kroger receipts where it is live). The real question here is why is Chase able to act differently than other Visa issuers, and I've addressed before that Visa faced a tough dilemma as its largest issuer in the US is very powerful. At the time the special deal was made, I think Chase was implying that it could start its own network or buy Discover (for the same purpose). Chase still talks about it occassionally, but seems all in with Visa at the moment (see CVS Visa tap card commercial). Visa could have chosen any other tap issuer for that cross promotion.
Keep in mind that Chase Pay uses the Visa/EMV QR standards. I'm not sure that'd necessarily allow Chase Visa cards to continue to be used at Kroger if the latter stops accepting Visa since in theory, other issuers could come out with their own payment apps.
That said, Chase Pay acceptance at the rest of Kroger could be a test to see how much of a reduction in interchange costs they end up seeing. I don't think that will work out all that well, however, considering that usage is already pretty low (besides the people with Samsung phones who are just using Samsung Pay with it).