Mastercard has partnered with some of the biggest cryptocurrency firms, including Wirex and BitPay
Financial services firm Mastercard on Wednesday announced that it will begin allowing cardholders to transact in certain cryptocurrencies on its network, becoming the latest company to embrace digital assets.
"We are preparing right now for the future of crypto and payments, announcing that this year Mastercard will start supporting select cryptocurrencies directly on our network," MasterCard said in a blog post.
The firm is also “actively engaging" with central banks around the world on their plans to launch new digital currencies.
The company will prioritize consumer protections and compliance in its own plans, Raj Dhamodharan, executive vice president of digital asset and blockchain products and partnerships, said in the post.
Mastercard has already partnered with some of the biggest cryptocurrency firms, including Wirex and BitPay.
“Our change to supporting digital assets directly will allow many more merchants to accept crypto — an ability that’s currently limited by proprietary methods unique to each digital asset," Dhamodharan said.
“This change will also cut out inefficiencies, letting both consumers and merchants avoid having to convert back and forth between crypto and traditional to make purchases."
Mastercard’s announcement comes after Tesla Inc. said it invested $1.5 billion in Bitcoin this week, sending the cryptocurrency to a record high.
“Our philosophy on cryptocurrencies is straightforward: It’s about choice," Dhamodharan said. “Mastercard isn’t here to recommend you start using cryptocurrencies. But we are here to enable customers, merchants and businesses to move digital value."