Mastercard Will Support Cryptocurrency Payments In 2021

Mastercard announced that it will start supporting some cryptocurrencies directly on its network in 2021. Such a move will open up a lot more opportunities for buyers and retailers as they can pay and accept payments in a completely new way. However, not all cryptocurrencies will be supported by Mastercard, as many virtual currencies will first have to tighten up compliance measures.

While Mastercard already works with cryptocurrency payment companies Wirex and BitPay on cryptocurrency debit cards, the new move represents a move towards allowing both consumers and merchants to avoid the need to convert cryptocurrency to fiat and vice versa when making purchases.

MasterCard plans to use cryptocurrencies that offer reliability and security. Namely, stablecoins are cryptocurrencies designed to maintain their value in relation to an asset, for example, the US dollar, so that they can be used for payments. Mastercard has previously shown interest in stablecoins. In September, the company launched a platform for central banks to test their own digital currencies known as CBDC.

Image: MarketWatch