Mastercard Intends To Work With Self-Custody Wallet Companies On Web 3.
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Mastercard Intends To Work With Self-Custody Wallet Companies On Web 3.

According to a Web3 strategy workshop report, payments giant Mastercard is investigating the best ways to work with self-custody wallet companies like MetaMask and Ledger.

In a presentation deck, Mastercard noted that having a payments card allows wallet providers to boost user activity, foster loyalty, and create additional revenue streams, all while enabling cardholders to spend their cryptocurrency balance in an easy and frictionless manner.

However, when launching a card in a new area, wallet companies must commit a substantial amount of resources. This is where Mastercard and its issuance partners step in. According to the deck, the 57-year-old payments technology company also stated that it is investigating “new models for global issuance using stablecoin on chain settlement” and “inexpensive fast chains.”

Through a number of cutting-edge products and solutions, such as the Mastercard Multi-Token Network, Crypto Credential, CBDC Partner Programme, and new card programmes that connect Web2 and Web3, “Mastercard is bringing its trusted and transparent approach to the digital assets space,” an email from a Mastercard representative stated.

Despite challenging market conditions and regulatory uncertainty in places like the U.S., large credit card networks are pushing forward with crypto. Mastercard stated earlier this year that the goal of its Engage programme is to introduce new cryptocurrency card offerings to the market. Visa, on the other hand, has been investigating methods to iron out kinks like paying Ethereum petrol fees and collaborating with stablecoin USDC and the Solana blockchain for cross-border payments.

According to the deck, Mastercard will make available a set of franchise standards, or guidelines, for partner companies in order to guarantee price competition, consumer protection, and transaction monitoring requirements. Since the business acquired CipherTrace in 2021, the blockchain analytics expert is available to offer monitoring services.

According to Mastercard’s presentation deck, issuing a card with the EU or the UK as the initial market would come next once the suggested standards are confirmed.

“Consumers seek an easy-to-use solution: smooth transactions without the need for pre-funding, cryptocurrency expenditure, or tax administration,” the statement read.