Cryptocurrencies have increasingly gained the attention of long-established companies globally. Over time, many crypto-centric products have been introduced, and now prominent corporations like Mastercard are advancing this further. It was once a distant dream to see Mastercard embrace crypto, but now the company has unveiled its own crypto P2P network.

Mastercard's Foray into Crypto

During previous downturns in the crypto market, there were reports from Bloomberg indicating that both Visa and Mastercard would halt their crypto-related services. That seemed like a recent development, but today, especially with the SEC's approval of a Bitcoin ETF in the US, the crypto sector has been given formal recognition. Now, numerous investment firms possess significant amounts of Bitcoin ETFs. For the latest financial updates, you can check COINTURK FINANCE.

Mastercard has announced the pilot phase of its new network, the Mastercard Crypto Credential, which currently supports transactions for Lirium and Mercado exchanges. This launch represents the newest addition to Mastercard's crypto-focused ventures. The benefits of cryptocurrency for international payments are now widely acknowledged.

Mastercard's P2P Platform

Walter Pimenta, Mastercard's Vice President of Products and Engineering for Latin America and the Caribbean, noted that there is a growing interest in blockchain-based payment services globally, not just in Latin America.

"As blockchain and digital assets continue to attract interest worldwide, it's vital to ensure secure and verifiable interactions on public blockchain networks," Pimenta stated.

According to the United Nations International Organization for Migration, migrants sent $717 billion in remittances in 2020. This amount increased by 16% in 2022, reaching $831 billion. Take El Salvador as an example: sending money from one country to another, especially from underdeveloped regions like El Salvador, often involves high transaction fees. One significant reason for the rapid adoption of cryptocurrency in developing and economically challenged areas is that it significantly reduces these costs.

With the Mastercard Crypto Credential, the payment giant aims to capture a portion of this growing market.

Mastercard's venture into the crypto space signifies a strategic move to stay relevant in an evolving financial landscape. As blockchain technology and digital assets gain momentum, Mastercard's new P2P network could play a crucial role in shaping the future of cross-border transactions.