Mastercard introduces Crypto Source, a new program that enables financial institutions to offer their customers secure crypto trading solutions and services. The Mastercard New Payments Index 2022 shows that 29% of respondents worldwide use cryptocurrencies as an investment. Additionally, another 65% prefer crypto-related services provided by their current trusted financial institution.
In partnership with regulated and licensed crypto custody providers, Mastercard’s financial partners gain access to a comprehensive suite of services that allow them to buy, hold and sell select crypto assets. The services are equipped with identity, cyber, security and consulting. To provide additional security for the crypto ecosystem and support card issuers in complying with complex regulations, Crypto Source’s offering is complemented by Mastercard Crypto Secure.
With this, Mastercard’s suite of crypto-related services for banks and fintechs includes:
Technology and partner support to enable the purchase, holding and sale of selected crypto-assets.
Security management including Mastercard identity solutions, crypto analysis, transaction monitoring, anti-money laundering, ‘Know Your Business’ and lifecycle stages, cyber security and biometrics.
Cryptocurrency issuance and withdrawal solutions offered through a range of products including crypto cards, open banking and cross-border services. Financial institutions can also offer additional options 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, providing end-to-end support for banks, fintechs and card issuers to offer crypto programs at scale.
“Trust is central to Mastercard. What we are announcing today are services that will help introduce billions of new crypto users safely to the crypto ecosystem through the most technically advanced solutions available on the market. Our recent investments in this sector, such as the acquisition of CipherTrace and Ekata, provide us with a unique set of capabilities to provide our clients and consumers with the most technically advanced solutions in the market,” said Ajay Bhalla, President, Cyber and 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 to see Paxos provide crypto asset trading and custody services on behalf of the banks, while Mastercard will use its technology to integrate these capabilities into the banks’ interfaces. This results in a flawless consumer experience.
“Mastercard has a strong network of financial institutions around the world. Developed by Paxos and Mastercard, this exciting new offering gives financial institutions the fastest and most reliable way to provide safe, reliable crypto access to their consumers worldwide. We are pleased to partner with Mastercard to further accelerate the mainstream adoption of digital assets,” said Walter Hessert, Head of Strategy at Paxos.
In recent years, Mastercard has been working with its customers and partners on new services and solutions that help make crypto more accessible, safer and better. These efforts have been enhanced with the addition of new technologies through Finicity, Ekata, RiskRecon and CipherTrace. This unique combination of services allows eligible financial institutions to manage investments in cryptoassets directly for consumers. Mastercard also continues to support banks, governments and others through its Crypto & Digital Currencies Consulting Practice.
Mastercard Crypto Source is currently being prepared for pilot programs. Additional information on program availability will be announced at a later date.