- Mastercard aims to collaborate with crypto wallet providers like MetaMask and Ledger to make it easier for users to spend crypto balances through new crypto card programs.
- Mastercard can assist wallet providers with launching crypto cards globally by providing payments expertise, issuer relationships, and meeting standards for consumer protection.
- Crypto cards allow users to spend crypto seamlessly without pre-funding, spending crypto directly, or dealing with taxes. This provides a frictionless way to use crypto balances.
Mastercard is exploring collaborations with self-custody crypto wallet providers like MetaMask and Ledger to make it easier for their users to spend crypto balances. This could benefit both Mastercard and the wallet providers.
Mastercard’s Web3 Strategy
The payments giant aims to bring a “trusted and transparent approach” to the crypto space through initiatives like its Multi-Token Network, Crypto Credential program, and CBDC Partner Program. New crypto card programs that connect Web2 and Web3 users are a key focus.
Benefits of Collaboration
Mastercard says having a payments card helps wallet providers increase active users, build loyalty, and open up revenue streams. At the same time, cardholders can spend crypto balances seamlessly. But wallet firms face demands on resources when launching cards in new regions. This is where Mastercard can assist with its experience and issuer partnerships.
Mastercard plans to release a set of standards to ensure consumer protection, price competition, and transaction monitoring. Its CipherTrace acquisition provides blockchain analytics services. After validating the standards, Mastercard aims to issue a card in the EU or UK as a first market.
Appeal for Crypto Card Users
Mastercard notes that users want a frictionless solution to spend crypto without pre-funding, spending crypto directly, or dealing with taxes. Crypto cards aim to provide this seamless experience.
Collaborations between Mastercard and crypto wallet providers could benefit both parties while making it simpler for users to spend crypto. Mastercard brings payments expertise and resources while wallet firms provide access to crypto users.