By Jamie G - Crypto expert - 20-07-2021
The collaboration aims to make crypto-to-fiat conversions easier within Mastercard's existing payment infrastructure.
Mastercard, the American finance giant, has recently announced a new update to its crypto card program. The new update will allow your everyday banks and local crypto firms to issue cards to their users so they can buy with crypto. The official statement reads that Mastercard, and its collaboratives are enabling more banks to "offer a card option to people wanting to spend their digital assets anywhere Mastercard is accepted."
Mastercard is working with crypto companies to include features such as cryptocurrency wallets and exchanges for cryptocurrency trading. By implementing these new features, it's said to make it easier for businesses to transfer cryptocurrency to conventional fiat currency.
The program will allow Mastercard to use its extensive payments network to remove the friction between fiat and crypto to provide more options for people interested in using and investing in cryptocurrency.
Mastercard will use Circle's stablecoin, USD Coin (USDC), for much faster conversions while starting payment transfers. Mastercard can help alleviate the inherent volatility of cryptocurrencies and their associated conversion problems by using the USD coin currency.
Those familiar with Visa's continuous foray into issuing crypto debit cards may not be surprised by Mastercard's plan to investigate its traditional payments infrastructure used within the crypto arena. As reported previously by Cointelegraph, Visa aims to issue a Bitcoin (BTC) debit card to People in Australia. The Visa debit will also be competent in trading in prominent altcoins like Ether (ETH),XRP, and Bitcoin Cash (BCH).