Mastercard bids to make it safer to buy crypto
Mastercard has launched Crypto Secure, a first-of-its kind technology solution designed to bring additional security and trust to the digital ecosystem.
Crypto Secure combines insights and technology from CipherTrace with proprietary information to help card issuers stay compliant with the complex regulatory landscape of the digital assets sector. The platform allows them to better assess the risk profile of crypto exchanges or other providers, collectively known as Virtual Asset Service Providers (VASPs), and decide which purchases of cryptocurrency to approve.
Rather than considering or employing a one-size-fits-all approach, which could potentially restrict legitimate activity, issuers can easily identify and turn away transactions with crypto merchants prone to fraud.
Ajay Bhalla, President of Mastercard Cyber and Intelligence, said: “At Mastercard trust is our business and with cryptocurrency more intertwined in our daily lives this is an exciting next step in our journey. Crypto Secure will provide card issuers with a platform that allows them access to insights which will improve the safety of crypto purchases, increasing consumer confidence and creating the same trust they expect when paying with Mastercard.”
Crypto Secure provides each issuer with a colour-coded dashboard which shows where their cardholders are buying cryptocurrency. The new service will allow issuers to:
- accurately identify the crypto exchanges
- measure transaction approvals and declines
- understand, at a portfolio level, their exposure to crypto risk through a single score
- access a benchmark rating for comparison to a peer group of financial institutions
Crypto Secure is the latest step in Mastercard’s broader digital assets strategy, which helps bridge the gap between traditional finance and the world of crypto, and enables individuals to seamlessly spend funds from their crypto accounts in everyday transactions. Over the past few years, Mastercard has been working alongside its customers and partners to bring new services and capabilities that help make crypto more accessible, safe, and secure. These efforts have been complemented with the addition of new technologies through Finicity, Ekata, RiskRecon in addition to CipherTrace.
This unique combination of services provides eligible financial institutions the opportunity to safely manage crypto asset investments for consumers. Mastercard also continues to support banks, governments and others around the world through its Crypto & Digital Currencies Consulting Practice.
