Regulation
Mastercard launches its first P2P crypto pilot | CryptoTvplus
Mastercard has announcement launching its first peer-to-peer (P2P) pilot transaction using its new Mastercard Crypto Credential. This will allow cryptocurrency exchange users to send and receive cryptocurrency using unique aliases associated with their Mastercard Crypto credentials.
The new system will streamline and secure crypto transactions, making them more accessible and user-friendly. Users from a diverse group of countries, including Argentina, Brazil, Chile, France, Guatemala, Mexico, Panama, Paraguay, Peru, Portugal, Spain, Switzerland and Uruguay, will be able to participate in this pilot program. They can send cross-border and domestic transfers, leveraging multiple currencies and blockchains.
P2P (Peer-to-Peer) in the context of crypto trading refers to a method of exchanging cryptocurrencies directly between individuals. In a P2P crypto trading system, buyers and sellers connect directly to an online platform or marketplace to trade and execute trades.
The P2P cryptocurrency market has proven to be a safe haven, especially for users in emerging countries. For example, Nigeria, Vietnam, Kenya and Ghana emerged as the top countries. four P2P markets in 2023. The entry of MasterCard with more than 1 billion Debit cards in circulation around the world can serve as a trigger to develop the P2P market.
Mastercard has been actively involved in the cryptocurrency space, exploring partnerships with various digital asset service providers and blockchain companies.
It has collaborated with several leading digital asset service providers, including Amber Group, Bitkub, CoinJar and Binance, to launch crypto-related payment cards.
Mastercard acquired Encryption trace, a blockchain analytics company, in 2021 to help identify illicit crypto transactions. This acquisition supports Mastercard’s efforts to ensure the integrity of the digital currency ecosystem.
Additionally, Mastercard’s Crypto Card program allows users to convert their cryptocurrencies into traditional fiat currency, which can be spent anywhere Mastercard is accepted.
This program is part of Mastercard’s strategy to give customers, merchants and businesses more choice in how they move digital value.