MasterCard has announced the launch of its ‘Crypto Credential’ network enabling peer-to-peer cryptocurrency transfers for users in Europe and Latin America.
According to the financial giant, MasterCard Crypto Credential verifies interactions among consumers and businesses using blockchain networks ensuring users meet verification standards set by MasterCard and confirming the recipient’s wallet supports the transferred asset.
Through the exchange of metadata, MasterCard Crypto Credential eliminates the complexity of a consumer knowing which assets or chains are supported by the person they are looking to send funds to bringing more trust and certainty to these transactions.
Users of the P2P network will be able to send and receive crypto using their MasterCard Crypto Credential aliases, instead of the typically long and complex blockchain addresses.
The live transaction capabilities are initially enabled on the:
- Bit2Me
- Lirium, and
- Mercado Bitcoin exchanges
aiming to facilitate cross-border transactions between Latin American and European corridors.
Users in the following countries can now send cross-border and domestic transfers across multiple currencies and blockchains under the network’s configuration:
- Argentina
- Brazil
- Chile
- France
- Guatemala
- Mexico
- Panama
- Paraguay
- Peru
- Portugal
- Spain
- Switzerland
- Uruguay
It is noteworthy that the network also supports the exchange of Travel Rule information for cross-border transactions. The Travel Rule is a regulatory requirement to ensure transparency and prevent potentially illegal and illicit activities.
“As interest in blockchain and digital assets continues to surge in Latin America and around the world, it is essential to keep delivering trusted and verifiable interactions across public blockchain networks,” Walter Pimenta, Executive Vice President of Product and Engineering for Latin America and the Caribbean at MasterCard, said in a statement.
A select group of crypto wallet users will leverage MasterCard Crypto Credential on a first-come, first-serve basis. Wider availability will roll out to more than 7 million users across the participating exchanges over the coming months, the firm said.
The P2P transaction is the first of many possible use cases that MasterCard Crypto Credential aims to support. Others may extend to NFTs, ticketing, and other payments solutions depending on market and compliance requirements.
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