As the cryptocurrency and blockchain industries continue to gain traction, global financial services giants Mastercard and Visa are both making strides in the space. Mastercard has unveiled a unique Web3 authentication solution, while Visa recently announced a stablecoin payment-focused project.
Mastercard Unveils Web3 Authentication Service
Mastercard has introduced a Web3 solution called “Mastercard Crypto Credential,” aimed at improving user verification standards and minimizing malicious activities within the digital asset ecosystem. The Mastercard Crypto Credential issues users a unique identifier, allowing them to instantly confirm that an address they wish to send funds to has been approved by Mastercard and adheres to the company’s guidelines.
In a video explanation shared on Twitter, the company emphasized its commitment to creating a method for Web3 and blockchain service providers that ensures secure transactions between users, verified in accordance with Mastercard’s standards.
The Mastercard Crypto Credential will issue users a distinctive identifier, theoretically allowing individuals to instantly confirm that an address they wish to send funds to has been approved by Mastercard and adheres to the company’s guidelines.
Mastercard stated that the solution also aims to facilitate compliance by exchanging essential metadata required to meet regulations, which should help “minimize the chances of malicious actors and the risk of funds being irretrievably lost.”
A diverse group of partners supports the solution. For wallet integration, Mastercard has collaborated with Bit2Me, Lirium, Mercado Bitcoin, and Uphold. Blockchain partnerships include Aptos, Avalanche, Polygon, and Solana.
The company will also utilize CipherTrace’s suite of services, including CipherTrace Traveler, to assist in verifying addresses and ensuring compliance with the Travel Rule for international transactions.