Mastercard Strongly Enters the World of Stablecoins
Mastercard has announced the launch of a payment card service backed by stablecoins, in collaboration with the fintech company MoonPay, using MoonPay's Iron infrastructure, despite ongoing regulatory uncertainty in the United States.
This move represents an important intersection between traditional finance and blockchain technology, as it will allow for seamless conversion of stablecoin payments into fiat currencies, opening doors for the use of digital currencies in a network of around 150 million merchants worldwide.
The demand for stablecoins is increasing due to the volatility of other assets like Bitcoin, pushing companies and traders towards more stable options.
This step also comes in the context of a stablecoin support program unveiled by Mastercard in late April, amidst legislative stagnation in passing the GENIUS Act in the U.S. Senate, which could delay crypto reforms until 2029.