Mastercard will support cryptocurrency payments later this year - Tech Daily Magazine

Only the safest and most reliable currencies will be accepted. 

Mastercard has become the latest payment company to give cryptocurrencies its blessing. The financial services company began preparing to support certain cryptocurrencies later this year, Mastercard's vice president of digital assets and blockchain Raj Dhamodharan said in a blog post. 

Of course, if you want to be part of the establishment, you have to follow the rules. After seeing an increase in crypto transactions, Mastercard is preparing to integrate certain currencies that meet its criteria for security, reliability and compliance. This effectively means that many virtual currencies may not make the cut at the first hurdle. At the same time, this move will allow many other retailers to accept crypto as a payment method. 

The main metric by which a stablecoin will be judged is consumer protection, including confidentiality and strict monitoring of consumer information - essentially "the same level of security that people expect from their credit cards," Dhamodharan said. . 

Additionally, cryptocurrencies will need to implement strict compliance measures, including 'Know Your Customer', which simply means the customer verification process used by the financial services industry. They must also obey the local laws and regulations of the regions in which they operate. Finally, digital assets must be accepted as a form of payment, rather than function as an investment opportunity. 

“It is a big change that will require a lot of work. We will be very attentive to the assets we support, ”adds Dhamodharan. 

Mastercard's decision to fully embrace cryptocurrencies follows in the footsteps of its payments colleague PayPal, which began allowing US users to buy, sell and hold virtual currencies in November. Tesla also recently bought $ 1.5 billion worth of Bitcoin and said it will start accepting it as payment soon. 

For its part, Mastercard has tested cryptocurrencies, but has never allowed the coins to flow through its network, instead relying on its partners (including Wirex and BitPay) to convert digital assets into traditional currencies to spend. He also owns 89 blockchain patents worldwide, with an additional 285 pending applications.

[right-side]