Global fintech firm Circle announced an engagement with Mastercard to help consumers and businesses leverage the power of USD Coin for high-trust, low-friction transactions more easily.
These days, card issuers that support payments in digital assets are required to convert the assets to fiat before settling a transaction. The additional step can be costly and convoluted for issuers. This is because, unlike USDC, many digital assets do not possess the same price stability as the US Dollar.
The engagement aims to increase the efficiency by making it simpler for partners to convert cryptocurrency to traditional fiat currency.
The engagement between Circle and Mastercard reinforces how USDC is growing its role in payments and commerce on the internet, while building a vital bridge between digital currency payment systems and large, established payment networks. We are thrilled to work with Mastercard to simplify card offerings for cryptocurrency companies.
Jeremy Allaire, Co-founder and CEO of Circle
Since the last year, USDC has become increasingly in demand as growing number of consumers, businesses, fintechs and global payments companies turn to USDC to fuel new payments and commerce activity on the Internet.
By using USDC to simplify the conversion of cryptocurrency to fiat currency, this could help card issuers in the future facilitate settlement to Mastercard.