Mastercard Launches Web3 Solution for Crypto Verification
Mastercard has launched a new Web3 solution aimed at improving the verification standards in the digital asset space. The solution, called "Mastercard Crypto Credential," provides a unique identifier to users, enabling them to verify that an address they want to send funds to has been vetted by Mastercard and has been operating in compliance with the firm's standards. The solution will support compliance through the exchange of metadata and help reduce the opportunities for bad actors.
As part of the solution, Mastercard has partnered with several crypto wallet providers, including Bit2Me, Lirium, Mercado Bitcoin, and Uphold. The firm has also partnered with several blockchains, including Aptos, Avalanche, Polygon, and Solana. To ensure compliance, Mastercard will tap into CipherTrace's suite of services, including CipherTrace Traveler, to help verify addresses and support Travel Rule compliance for cross-border transactions.
The solution is designed to reduce the opportunities for bad actors and the risk of funds being lost for good. Even if bad actors slip through the cracks and obtain a unique identifier, Mastercard can quickly revoke their verification if they have engaged in nefarious activity. The firm's long list of partners behind the solution is a testament to its commitment to enhancing the crypto sector's standards.
Mastercard has been steadily increasing its exposure to the crypto sector over the past few years. This latest announcement comes just a few weeks after the firm launched a non-fungible token (NFT) gated musician accelerator program in collaboration with Polygon. The program offers free access to materials, unique artificial intelligence tools, and other experiences to holders of Mastercard's Music Pass NFT.
Visa, Mastercard's competitor, has also made a move in the crypto space by announcing a new stablecoin payments-focused project. Cuy Sheffield, the firm's head of crypto, announced the project on Twitter and shared a job listing for the role, which notes that the company is "building the next generation of products to facilitate commerce in everyone's digital and mobile lives." The company is on the lookout for someone with strong experience in Web3 and blockchain tech.
In conclusion, Mastercard's new Web3 solution, "Mastercard Crypto Credential," is designed to enhance user verification standards and reduce the opportunities for bad actors in the digital asset space. The solution's unique identifier will provide users with an added layer of security, allowing them to instantly verify that an address they want to send funds to has been vetted by Mastercard and has been operating in compliance with the firm's standards. The firm's long list of partners and its commitment to enhancing the crypto sector's standards highlights its dedication to innovation and staying ahead of the curve.