Mastercard to bring crypto trading capabilities to banks

New Crypto SourceTM program expands Mastercard’s safe, secure and reliable services

Mastercard today introduces Crypto Source^TMa new program to enable financial institutions to bring secure crypto trading opportunities and services to their customers.

The 2022 Mastercard New Payments Index reported that 29% of respondents globally hold cryptocurrency as an investment, while another 65% indicate a preference for crypto-related services to be provided by their current trusted financial institution.*

Working with regulated and licensed crypto custody providers, Mastercard’s financial institution partners will have access to a comprehensive suite of buy, hold and sell services for selected crypto assets, enhanced with proven identity, cyber, security and advisory services. This Crypto Source offering is complemented by Mastercard Crypto Secure^TM to provide additional security to the crypto ecosystem and support card issuers in their compliance with complex regulations.

Now Mastercard’s suite of crypto-related offerings for banks and fintechs includes:

• Technology and partnership support to enable buy, hold and sell of selected crypto assets
• Security management including Mastercard’s identity solutions, cryptanalysis, transaction monitoring, anti-money laundering, “Know Your Business” and lifecycle stages, cyber security and biometrics
• The possibility of crypto use and withdrawal 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 functionality using Mastercard’s technology such as digital receipts and loyalty solutions
• Crypto program management including program design, product development and technology implementation, as well as go-to-market optimization and marketing consulting services, providing end-to-end support for banks, fintechs and issuers to offer crypto programs at scale

“At Mastercard, trust is our business. What we’re announcing today is a cohesive approach to services that will help bring users safely and securely into the crypto ecosystem. Our recent investments in this area, such as the acquisition of CipherTrace and Ekata, give us a unique set of capabilities to help our clients and consumers with the most technically advanced solutions available on the market.” so Ajay Bhalla, President, Cyber ​​​​& Intelligence at Mastercard.

To support this program, Mastercard is expanding its partnership and working with Paxos Trust Company, a leading regulated blockchain infrastructure platform. The partnership aims for Paxos to provide crypto-asset trading and custody services on behalf of the banks, while Mastercard will leverage its technology to integrate these capabilities into the banks’ interfaces, resulting in a seamless experience for the consumer.

“Our commitment is simple – to explore crypto and the underlying digital asset technology to support consumer choice in payments. Today is an exciting step in our crypto journey that draws on the strengths of our global businesses, from open banking and identity verification to analytics and fraud monitoring to settlement solutions We are excited to build on our long-term partnership with Paxos – co-innovation to bring safe and secure technology to financial institutions Our crypto product innovations will provide choice at scale and continue to provide unprecedented opportunities to financial institutions as they seek to offer new, advanced services to its customers. said Jorn Lambert, Chief Digital Officer at Mastercard.

“Mastercard has a powerful network of financial institutions around the world. This exciting offering developed by Paxos and Mastercard will provide FIs with the fastest and most reliable way to provide safe, reliable crypto access for their consumers globally. We are thrilled to partner with Mastercard to further accelerate the mainstream adoption of digital assets,” said Walter Hessert, chief strategy officer at Paxos.

Over the past few years, Mastercard has been working with its customers and partners to bring new services and capabilities that help make crypto more accessible, safe and secure. These efforts have been complemented by the addition of new technology through Finicity, Ekata, RiskRecon and CipherTrace. This unique combination of services gives qualified financial institutions the ability to directly manage crypto asset investments for consumers. Mastercard also continues to support banks, governments and others through its Crypto & Digital Currencies Consulting Services.

Mastercard Crypto Source is currently being prepared for pilot programs. Further details on wider availability will be made available at a later date.

Learn more about Mastercard crypto and blockchain

Source:

*Research conducted by The Harris Poll and Mastercard Global Foresights, Insights and Analytics from March 21 to April 21, 2022. Online interviews were conducted among 35,040 global adults (17,071 women, 17,969 men) and include nationally representative samples from markets in 5 regions.