DailyCoin
Published Oct 26, 2021 04:01AM ET
Updated Oct 26, 2021 04:31AM ET
Mastercard Teams with Bakkt to Provide Crypto Services to U.S. Merchants, Fintech, and Consumers
In a major announcement this week, Mastercard (NYSE:MA) and Bakkt have launched a strategic alliance to make it easier for merchants, banks and fintechs in the U.S. to provide a wide range of crypto services and offerings. The solutions suite has been dubbed, Crypto-as-a-Service (CaaS), which allows Mastercard partners the chance to enable their end users to buy, sell and hold digital assets through custodial wallets. Those digital wallets will be powered by the Bakkt platform and will help streamline issuance of branded crypto debit and credit cards.
“Mastercard is committed to offering a wide range of payment solutions that deliver more choice, value and impact every day,” said Sherri Haymond, executive vice president, Digital Partnerships at Mastercard in its announcement.
“Together with Bakkt and grounded by our principled approach to innovation, we’ll not only empower our partners to offer a dynamic mix of digital assets options, but also deliver differentiated and relevant consumer experiences.” This news will likely be a significant catalyst for mass adoption of crypto by both merchants and consumers – even more so than when PayPal (NASDAQ:PYPL) announced its addition of a handful of cryptocurrencies to its platform. Consider this graphic that shows increasing use of Mastercard credit cards within the U.S. and the world since 2015.
Mastercard stated that it plans to integrate crypto into its loyalty solutions, which means consumers will be able to earn and spend rewards in cryptocurrencies instead of traditional loyalty points, and seamlessly convert their crypto holdings to pay for purchases.
According to the Bakkt U.S. Consumer Crypto Survey1 of 2,000 U.S. Consumers, nearly half (48%) of respondents reported purchasing crypto in the first six months of 2021, while 32% of those who didn’t are either very or somewhat interested in doing so before the end of year. And, according to the Mastercard New Payments Index, 77% of millennials stated that they are interested in learning more about cryptocurrency, with 75% saying that they would use cryptocurrency if they understood it better.
On The Flipside
Why You Should Care?
This could mark a watershed moment as one of the most widely used and trusted payment methods in the world has validated crypto, and integrated into its business model.
EMAIL NEWSLETTER
Join to get the flipside of crypto
Upgrade your inbox and get our DailyCoin editors’ picks 1x a week delivered straight to your inbox.
[contact-form-7] You can always unsubscribe with just 1 click.
Continue reading on DailyCoin
Written By: DailyCoin
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.