Mastercard launches Crypto Credentials system to simplify crypto transactions News ▸ EU · Latin America ▸ Payments
Mastercard launches Crypto Credentials system to simplify crypto transactions
The service is aimed at the EU and Latin American markets.
2 min read
Updated: May. 29, 2024 at 9:39 pm UTC
Cover art/illustration via CryptoSlate. Image includes combined content which may include AI-generated content.
Mastercard launched Mastercard Crypto Credential on May 29, enabling users to send and receive crypto using simplified aliases instead of complex blockchain addresses, according to a press release.
Mastercard Crypto Credential verifies interactions among consumers and businesses on blockchain networks, ensuring users meet verification standards and confirming the recipient’s wallet supports the transferred asset.
The system simplifies the process of knowing which assets or chains are supported by the recipient, enhancing trust and certainty in transactions. Additionally, Mastercard Crypto Credential supports exchanging Travel Rule information for cross-border transactions, a regulatory requirement to prevent illegal activities.
The system works by first verifying users according to Mastercard’s standards, who then receive an alias for sending and receiving funds across supported exchanges. When initiating a transfer, the system checks the validity of the recipient’s alias and wallet compatibility.
If the wallet does not support the asset or blockchain, the sender receives a notification, and the transaction halts to prevent loss of funds.
Mastercard will initially support peer-to-peer (P2P) transactions but could extend the service to non-fungible tokens (NFTs), ticketing, and other payment solutions.
Latin America and the EU
Mastercard Crypto Credential is aimed at the Latin American and European markets. The service is available to users in several countries, including Argentina, Brazil, Chile, France, Guatemala, Mexico, Panama, Paraguay, Peru, Portugal, Spain, Switzerland, and Uruguay.
The service is available on three main exchanges: Bit2Me, Lirium, and Mercado Bitcoin.
Users of Lulibit, a Panama and Guatemala-based exchange, can also access the service via Lirium. Brazil-based crypto wallet provider Foxbit is also participating in the pilot ecosystem.
Mastercard intends to offer Crypto Credential to select users on a first-come, first-served basis and then extend the service to more than 7 million users in future months.
Mastercard’s other efforts
Mastercard has pursued various other blockchain projects. Its Multi-Token Network aims to improve the security, scalability, and interoperability of crypto transactions. Its Crypto Source service, powered by Paxos, allows banks to offer crypto trading to customers.
The company has also developed technology to tokenize central bank digital currencies (CBDCs) on various blockchains.
Mastercard powers several payment cards issued by crypto companies, including cards from Nexo, Bybit, Uphold, Bitpay, and Revolut.
Mentioned in this article
Author 
Mike Dalton
Before transitioning to crypto writing in 2018, Mike studied library and information sciences. Currently, he resides on Canada's West Coast.
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In this article
Mastercard
Mastercard is a leading global payments & technology company that connects consumers, businesses, merchants, and issuers and governments around the world.
Paxos
Paxos Trust Company, LLC is a regulated blockchain infrastructure company building transparent and transformative financial solutions.
Nexo
Nexo is a leading global financial institution specializing in digital asset services, particularly focusing on cryptocurrency lending, exchange, and financial management solutions.
Bybit
Bybit is a cryptocurrency derivative trading platform established in March 2018 and registered in the BVI.
Revolut
Revolut is a financial technology company that offers a range of financial services, including a digital banking platform, foreign currency exchange, stock trading, cryptocurrency trading, and other related services.
