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MasterCard will allow merchants to accept cryptocurrency payments this year, or not support Bitcoin settlements

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Stablecoins will be the preferred currency for MasterCard to support encrypted settlements.

Rhythm BlockBeats news, on February 11, Mastercard issued a document stating that it plans to provide merchants with the option to receive cryptocurrency payments this year. This function will allow users to directly use cryptocurrencies for settlement at participating merchants. MasterCard has not disclosed which digital currencies it intends to support, or where they will be implemented.

Customers can use digital currency to pay at merchants that support encrypted payments. MasterCard has not disclosed which digital currencies it intends to support, or where they will be implemented.

These details reinforce the company’s previous commitment to integrate digital currency payments directly onto Mastercard’s network.

Mastercard's new CEO, Michael Miebach, held his first earnings conference call on January 28, 2021, stating that it will provide maximum flexibility to customers and merchants.

Previously, Mastercard supported limited cryptocurrency transactions through its partners Wirex and Uphold. But those plans only cover payments, not settlements, where cryptocurrencies are converted to fiat currency before reaching merchants.

According to sources, cannot guarantee MasterCard's encryption The settlement plan will support Bitcoin. Raj Dhamodharan, executive vice president of blockchain and digital asset products at Mastercard, hinted in a blog post that stablecoins will be a major consideration for Mastercard's upcoming integration.

“Our philosophy on cryptocurrency is simple: it’s about choice. Mastercard is not in This is the place to start using cryptocurrencies. But we are here to enable customers, merchants and businesses to transfer digital value.”

Currently, relatively few merchants accept cryptocurrencies, Bitcoin. Tesla's stated plan to sell cars for bitcoin remains a hypothesis. The scenario of widespread use of the crypto economy is far from being realized.

But Mastercard has been laying the groundwork for the future in the digital currency space for years. The company said it holds 89 blockchain patents, with another 285 pending global approval.

In the US, these documents include: methods of confidentiality for encrypted transactions, on-chain credit card payment verification, instant blockchain Payment processing and how crypto chargebacks are handled, etc.