Mastercard will now directly support cryptocurrencies, paving way for banks functioning within its ecosystem to offer crypto services to almost 1 billion users and 30 million merchants.
Thanks to the integration of digital assets into its products, users and customers of Mastercard will soon be able to spend, store, and use cryptocurrency for various services, including loyalty programs and rewards.
The new initiative is being rolled out in partnership with assets trading platform Bakkt, which will act as a custodian in the new system.
The Executive Vice President of Digital Partnerships at MasterCard, Sherri Haymond, stated that the company is looking forward to offering its partners and clients easy exposure to crypto services.
Mastercard is currently working with over 20,000 financial institutions around the globe, with a total user base of 2.8 billion. The announcement is the latest in a series of institutional adoption of cryptocurrencies in recent weeks. PayPal recently launched Bitcoin and cryptocurrency services in the UK, less than a year after introducing a feature that allows US residents to buy Bitcoin and other cryptos on its platform.