Mastercard To Launch New Stablecoin Cards With MoonPay To Push Mainstream Crypto Adoption

In a major move for the cryptocurrency industry, Mastercard has announced that it will make it possible to pay with stablecoins at any of the 150 million merchant locations worldwide. The move is possible thanks to Mastercard partnering with MoonPay.

Mastercard Extends Footprint in Crypto With MoonPay Partnership

Mastercard has agreed to another partnership with cryptocurrency payments firm MoonPay. The partnership will involve Mastercard providing stablecoin cards that people can use at shops around the globe.

For quite a while, Mastercard has shown interest in cryptocurrencies, understanding how important digital assets are for the world's economy. In the last few months, Mastercard has signed partnership deals with the crypto exchange OKX, payment processor Nuvei, stablecoin giant Circle, and more.

The latest partnership will see Mastercard get involved in more than enabling crypto transactions to launch stablecoin cards with MoonPay. The partnership will allow fintechs and enterprises to issue Mastercard-branded cards that can be connected directly to the stablecoin balance of a user.

Users will be able to pay at over 150 million Mastercard merchant locations worldwide, as Mastercard and MoonPay are working on a card system backed by stablecoins. This service is handled through Iron, a payments infrastructure that MoonPay bought not long ago. 

Transactions made with the cards from this partnership will automatically get changed into local currencies when you pay. Operating through Iron will allow businesses, neobanks, and other payment participants to easily manage payouts and disbursements more efficiently. 

As a result, users of crypto can spend their USDT or USDC stablecoins in a way that feels similar to using their usual debit/credit cards.

The Push for Global Adoption of Cryptocurrencies

Mastercard's integration with MoonPay could potentially bridge the gap between traditional finance and decentralized assets. Mastercard's 150 million merchants globally will increase the reach of digital assets, a step in the right direction for the mainstream adoption of these assets. 

The partnership could unlock stablecoin utility and ubiquity, redefining how crypto moves globally. Scott Abrahams, EVP of Global Partnerships at Mastercard, said about the partnership, "Together with MoonPay, we're creating trusted, scalable infrastructure that connects crypto and traditional finance in a seamless way."

MoonPay said the partnership will give every crypto wallet access to new stablecoin-powered virtual Mastercards.

How Everyday People Can Benefit From This Partnership

The cards issued by Mastercard will create a practical and convenient way to utilize their digital assets in the real world. Stablecoins are perfect for this because their values are pegged to a currency, removing the volatility concern people have about cryptocurrencies. 

Imagine being able to receive your salary in stablecoins and then use your Mastercard to pay for groceries, utilities, and other everyday expenses all without thinking about converting your USDT to your local currency. 

This partnership brings the vision of crypto being used in our everyday lives closer to reality. The possibility of using digital assets without converting them to a local currency could encourage more people to use them in their everyday lives. 

In addition, the familiarity of a Mastercard payment card could provide a comfortable and accessible gateway to the world of digital assets. It also opens up the possibility for people to enjoy the full experience and benefits of using stablecoins without using crypto exchanges or wallets.

The demand for stablecoins is rising very quickly, with more than 120 million wallets globally holding stablecoins. However, only about 20 million transact monthly with the stablecoins. This partnership could open the door for more people to use stablecoins more often.