Mastercard (MA), the credit-card giant company, has announced plans to give its vendors the option to receive payments in cryptocurrencies later in the year.
On Wednesday, Mastercard said it was planning to offer support for some cryptocurrencies on its network this year, joining a string of big-ticket firms that have pledged similar support.
Mastercard joins huge growing support for Bitcoin
The announcement comes days after Elon Musk, the CEO of Tesla revealed the company has purchased $1.5 billion worth of bitcoin and would soon accept it as a form of payment.
Furthermore, the word’s largest Asset manager BlackRock and payments companies Square and PayPal have also recently backed cryptocurrencies as a mode of payment.
Mastercard has been supporting limited cryptocurrencies transactions through its crypto card partners Wirex and Uphold. However, those programs only cover the payment, not settlement. The new initiative is set to change the dynamic among retailers and business holders who choose to accept the new payment mode.
The credit card company noted that allowing the cryptocurrencies will create many possibilities for shoppers and merchants, allowing them to transact in an entirely new form of payment. This change may open merchants up to new customers who are already flocking to digital assets.
Mastercard Executive Vice President for Blockchain and Digital Asset Products Raj Dhamodharan hinted stablecoins will be the primary beneficiary of Mastercard’s coming integration.
“Our philosophy on cryptocurrencies is straightforward: It’s about choice. Mastercard isn’t here to recommend you start using cryptocurrencies. But we are here to enable customers, merchants and businesses to move digital value,” Raj Dhamodharan said.
However, the company specified that not all cryptocurrencies will be supported on their network, adding that many of the hundreds of digital assets in circulation still need to tighten their compliance measures.
Following the announcement from Mastercard, Bitcoin is currently trading at $46,795.85 which is a 2.71% decline from the $ 47,000 it recorded earlier this week.
Read also: Visa Signals Further Cryptocurrency Ambitions With API Pilot for Banks
