Mastercard Launches Crypto Credential, Aiming for Global Payment Ease
Financial giant Mastercard has initiated its first real-world application of the Crypto Credential system, a system aimed at facilitating easier and more secure peer-to-peer (P2P) cryptocurrency transactions. The service, which allows users to transfer cryptocurrencies using simple aliases, has gone live across several exchanges in Europe and Latin America.
On Wednesday, Mastercard disclosed that the Crypto Credential system is currently operational on Bit2me, Lirium, and Mercado Bitcoin exchanges, enabling users from countries including Argentina, Brazil, Chile, and France, among others, to execute both cross-border and domestic transfers.
By employing aliases rather than complex blockchain addresses, Mastercard said the system simplifies the transaction process while adhering to necessary verification standards to enhance security, and compliance with global regulations like the Financial Action Task Force’s (FATF) Travel Rule.
“As interest in blockchain and digital assets continues to surge in Latin America and around the world, it is essential to keep delivering trusted and verifiable interactions across public blockchain networks,” said Walter Pimenta, the executive vice president of product and engineering, representing Latin America and the Caribbean at Mastercard.
We’re thrilled to work with this dynamic set of partners to bring Mastercard Crypto Credential closer to realizing its full potential.
Mastercard further detailed that the inclusion of new partners such as Foxbit and the integration with Lulubit through Lirium expands the reach of Mastercard’s pilot program, promising broader consumer access.
Mastercard’s system not only supports crypto asset transfers but also prepares to extend its utility to other applications like non-fungible tokens (NFTs) and blockchain ticketing, pending market needs and regulatory compliance. Mastercard asserts the initiative marks a significant step in leveraging blockchain technology for mainstream financial transactions, emphasizing safety and ease of use.
