Mastercard and Visa to expand in the cryptocurrency world

By: Miguel A. Rodriguez

09:45, 14 September 2020

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Cryptocurrency is soon to be the preferred method of payment

This week starts with promising news from MasterCard. Earlier today, the financial services giant announced that it is expanding its cryptocurrency program to allow companies to issue their payment cards, as the company signed a deal with Wirex. Following the agreement, Wirex can directly issue cards on the network provided by MasterCard.

Moreover, MasterCard registered 80 patents in blockchain technology. However, no one knows if the company will release its cryptocurrency. From the experts’ point of view, it is likely to work with the already existing Stablecoins (a cryptocurrency backed by reserve assets, which makes it involatile, unlike Bitcoin). 

MasterCard is not the only company focusing on cryptocurrency. Visa spoke about its current work with cryptocurrency, and it believes its potential to improve digital payments and allow more accessibility. Rumor has it that Visa has been exploring blockchain technology for several years behind closed doors. Currently, it is working with Coinbase and has invested in Anchorage.  

Like MasterCard, it also registered patents in blockchain technology, but less than its competitor – 24. 

None of the companies is a stranger to cryptocurrencies, as they were some of the original partners for Libra – the crypto developed by Facebook. However, both of them have backed out from the project. 

Although they are making efforts to catch up, PayPal is one step ahead. Allegedly, PayPal will start offering cryptocurrency purchases to its 325 million clients. 

Given the current context, according to specialists, the crypto services are harder and harder to ignore, and, in time, a full adoption is possible. 

The market received the news positively, and MasterCard’s stock price is higher by 0.48% in pre-market trading, while Visa is 0.69% higher. PayPal gained the most – 0.83%. 

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Sources: forbes.com, livemint.com, marketwatch.com

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