Mastercard today introduces Crypto Source, a new program that will enable financial institutions to offer crypto-asset trading capabilities and services to their clients.
According to Mastercard’s New Payments Index 2022, 29% of people surveyed globally hold cryptocurrency as an investment. In addition, 65% of them said they would prefer crypto-related services to be provided to them directly by their existing financial institution, which they trust*.
In partnership with regulated and licensed crypto custody service providers, Mastercard partner financial institutions will have access to a full suite of services for buying, holding and selling crypto assets, as well as identity services, proven cybersecurity and consulting. This Crypto Source offer is complemented by Mastercard Crypto SecureTM This enhances the security of the crypto asset ecosystem and helps card issuers comply with complex regulations.
Now, Mastercard’s suite of crypto-asset offerings aimed at banks and financial firms offers the following services:
- Technology support and partnership to enable buying, holding and selling some crypto assets
- security managementincluding Mastercard identity management solutions, crypto asset analytics, transaction monitoring, anti-money laundering, know-your-customer (KYC) and lifecycle phases, cybersecurity and biometric features.
- Cryptocurrency payment and redemption options It is offered through a range of products, including crypto cards, open banking and cross-border services. Financial institutions will also be able to offer additional features, using Mastercard technology, such as digital receipts and loyalty solutions.
- Manage Cryptocurrency Affiliate Programs, including program design, product development and technology implementation, as well as go-to-market optimization and marketing consulting services. The goal is to provide comprehensive support to banks, financial companies and card issuers to offer cryptocurrency affiliate programs at scale.
according to Ajay Bhalla, Head of Cyber & Intelligence at MastercardFor us, trust is our business. What we are announcing today is a service-connected approach that will help securely integrate the billion users of the future into the cryptocurrency ecosystem. Our recent investments in this space, including the acquisitions of CipherTrace and Ekata , gives us a unique set of skills that allow us to provide our customers and consumers with the most technologically advanced solutions on the market.”
To further this program, Mastercard is currently expanding its partnership by working with Paxos Trust, a reputable and regulated blockchain infrastructure platform. The goal of this partnership is to enable Paxos to provide trading and custody services for crypto assets on behalf of banks. For its part, Mastercard will use its technology to integrate these capabilities into bank interfaces, resulting in a seamless consumer experience.
“Our commitment is simple: exploring cryptocurrencies and underlying digital asset technology to support consumers with their payment choices. Today marks an exciting milestone in our crypto strategy, which builds on the strengths of our international business: from open banking, identity verification, to fraud analytics. monitoring, and through dispute resolution solutions We are excited to continue our long-standing partnership with Paxos, innovating together to bring safe and secure technology to financial institutions Our innovations in crypto-asset products will provide options at scale and will continue to provide unique opportunities for financial institutions looking to offer new services advanced for its clients.
Mastercard has a strong network of financial institutions around the world. This exciting offering, developed by Paxos and Mastercard, will give financial institutions a fast and highly reliable way to provide secure and reliable access to consumers around the world. We are excited to collaborate with Mastercard to accelerate mainstream adoption of digital assets. said Walter Hessert, head of strategy at Paxos.
Over the past few years, Mastercard has worked with its customers and partners to create new services and solutions that help make cryptocurrency more accessible and secure. These initiatives were complemented by the arrival of new technologies through the acquisition of Finicity, Ekata, RiskRecon, and CipherTrace. This unique suite of services provides qualified financial institutions with the ability to directly manage consumer crypto-asset investments. Mastercard also continues to support banks, governments and other players with its crypto and digital currency advisory service.
Mastercard Crypto Source is currently in the preparatory phase for beta programs. Additional information about its expanded availability will be announced at a later time.