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Mastercard announced on Monday, 17 October the launch of
a program that will allow banks offer secure crypto trading to
their customers by verifying transactions and helping financial
institutions follow compliance rules. The program called Crypto
SourceTM was developed in partnership with Paxos, a crypto trading
platform used by companies like PayPal. Mastercard’s
financial institutions partners will gain access to a comprehensive
selection of buy, hold, and sell services for select crypto assets.
Said crypto assets will be augmented with a proven identity, cyber
security and advisory services.
In addition to Crypto SourceTM, Mastercard is also launching
Mastercard Crypto SecureTM, bringing additional security to the
crypto program and supporting card issuers in their regulatory
Mastercard’s Chief Digital Officer states that polling
shows demand for crypto assets, stating in an interview with CNBC,
“There are many consumers … that are interested in
this, and intrigued by crypto, but would feel a lot more confident
if those services were offered by their financial
The Chief Digital Offer also said that Mastercard is committed
to exploring crypto and the underlying digital assets technology to
support consumer choice in payments.
Mastercard has been working alongside its customers and partners
over the past few years in bringing new services and capabilities
for safer, more secure, and more accessible crypto services.
Currently, Mastercard has several crypto-related technologies and
services like Finicity, Ekata, RiskRecon and CipherTrace.
Additionally, Mastercard supports financial institutions and
governments through its Crypto & Digital Currencies Consulting
Mastercard’s Crypto SourceTM will include numerous
crypto-related services. In addition to the buying/holding/selling
of select crypto assets, the program offers crypto spending and
cash-out capabilities through various products, including crypto
cards, open banking, and cross-border services. Crypto program
management is also included, with program design, product
development and technology implementation support.
Large investment banks like Goldman Sachs, Morgan Stanley, and
JPMorgan have dedicated crypto teams but have largely avoided
offering it to consumers yet. However, if banks do embrace this
Mastercard partnership, it may result in more competition in the US
for Coinbase and other cryptocurrency exchanges. This is another
step towards the inevitable – mass adoption.
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