Mastercard has launched a new Web3 solution called the “Mastercard Crypto Credential” that aims to enhance user verification standards.
It also aims reduce the opportunities for bad actors in the digital asset space. The new solution is designed to provide secure transactions between users, verified according to standards set by Mastercard.
It issues a “Mastercard crypto credential unique identifier” to users that allows them to instantly verify whether an address they want to send funds to has been vetted by Mastercard and is operating in compliance with the company’s standards.
Mastercard’s solution also supports compliance through the exchange of essential metadata that is required to meet regulations. This helps to reduce the opportunities for bad actors and the risk of funds being lost.
Even if bad actors slip through the cracks and obtain a unique identifier, Mastercard can quickly revoke their verification if they engage in nefarious activity.
Mastercard has partnered with several crypto wallet providers, including Bit2Me, Lirium, Mercado Bitcoin, and Uphold, as well as blockchain providers Aptos Labs, Ava Labs, Polygon Labs, and The Solana Foundation.
The company will also use CipherTrace’s suite of services, including CipherTrace Traveler, to verify addresses and support Travel Rule compliance for cross-border transactions.
This move comes after Mastercard launched a non-fungible token (NFT) gated musician accelerator program in collaboration with Polygon a few weeks ago.
The program offers free access to materials, unique artificial intelligence tools, and other experiences to holders of Mastercard’s Music Pass NFT until the end of April.
Mastercard has been increasing its exposure to the crypto sector over the past couple of years. Its latest move is aimed at enhancing user verification standards and reducing the opportunities for bad actors in the digital asset space.
Visa, Mastercard’s competitor, also made a crypto move earlier this week, announcing a new stablecoin payments-focused project. The company is looking for someone with strong experience in Web3 and blockchain tech to build the next generation of products to facilitate commerce in everyone’s digital and mobile lives.
Mastercard Web3 Verification
In summary, Mastercard’s new Web3 solution provides secure transactions between users, verified according to standards set by the company. Its solution is designed to reduce the opportunities for bad actors and the risk of funds being lost.
The company has partnered with several crypto wallet providers and blockchain providers and will use CipherTrace’s suite of services to verify addresses and support Travel Rule compliance for cross-border transactions.
The move comes after Mastercard launched a non-fungible token (NFT) gated musician accelerator program in collaboration with Polygon. Visa, Mastercard’s competitor, also made a crypto move earlier this week, announcing a new stablecoin payments-focused project.