MasterCard has also decided to join the Crypto club just after VISA announced their strategic move to collaborate with the crypto industry. To achieve their goal, MasterCard has made some partnerships with Crypto Giants such as Wirex and BitPay. With this steps, Mastercard has announced that by the end of this year 2020 they will start offering their merchants to accept payments in the form of selected cryptocurrencies. Let’s understand the top reasons behind this big move by Mastercard further this article.
- Although, It’s A World Competition
Recently few weeks back, VISA has announced about their plan to support cryptocurrencies for payments. Perhaps Mastercard is working on this since last year to provide crypto cards, they also made public announcement to support crypto payments by the end of this year.
- Increasing Importance of Crypto in Payments World
We can’t ignore advantages of cryptocurrencies over traditional money. It is way faster, safer and user-friendly than traditional currency. Especially when we are doing international transfers. Sooner Crypto will become Global currency. Many international banks are using cryptocurrencies in their private network for doing huge amount transaction in between.
- Reduce Overhead of Converting Crypto and Traditional Currency to and forth
When customer who is holding crypto and want to purchase anything. It is always an overhead to convert crypto back to traditional currency and do payment at merchant. This also includes transaction fees and significant amount of time. But with Crypto credit cards it will save both time and money of customer while shopping and help merchants to get transaction done quicker.
- Data is Anonymized
In crypto world, transaction data is always anonymized only platform owner can view the sender and receiver information. This helps in keeping customers personal data secured and private. And in today’s world privacy is the key to run any kind of business.
- On Public Demand
Last but not less important reason is Public Demand, Mastercard is hearing voice of their customers and merchants. Many of them really want to transact using cryptocurrencies they are holding. Which will make life easier for both customer and merchants. The company grows when they run business as requirement of customers. And Mastercard is following same rule.
Although MasterCard is going to support cryptocurrencies, cryptocurrencies will not travel through their network. That’s why Mastercard has teamed up with Wirex and BitPay last year to handle that part of converting crypto assets to traditional currencies and vice versa.
At the same time, Mastercard is promising to protect their customers from security and privacy threats with the help of their strict compliance and security majors such as KYC(Know Your Customer) and other rules/regulations. This will surely help in reducing and controlling illegal activities.