Mastercard has revealed a significant collaboration with Kraken to facilitate real-world Bitcoin and cryptocurrency transactions on a large scale throughout the UK and Europe. The partnership seeks to enable Kraken’s customers to utilize their digital currencies at over 150 million vendors globally that accept Mastercard, representing a significant advancement in the incorporation of Bitcoin into everyday trade.
“Mastercard is dedicated to fostering innovation and broadening the possibilities of digital payments,” remarked Scott Abrahams, Executive Vice President of Global Partnerships at Mastercard. “Our alliance with Kraken is a tangible illustration of this commitment, as we collaborate to unlock the true capabilities of cryptoassets for routine applications. With a common goal to streamline, interrelate, and ensure the security of the digital asset ecosystem, we are delighted to partner with Kraken and provide real value to their user community.”
Kraken, one of the most prominent cryptocurrency exchanges hosting over 15 million users worldwide, is leveraging Mastercard’s extensive payments framework to enhance its product offerings. This encompasses the swift launch of both physical and digital debit cards that link crypto balances to everyday spending.
The partnership also capitalizes on the growing success of Kraken Pay, a service introduced by the exchange to provide quick, borderless transactions in cryptocurrencies and fiat currencies. Merely three months post-launch, over 200,000 users have activated their personal “Kraktag” to transfer funds globally with the ease akin to sending a text, according to the announcement.
“Cryptocurrency is revolutionizing the payments sector, and we foresee a future where global commerce and daily transactions are driven by cryptoassets,” stated Kraken Co-CEO David Ripley in the release. “Our clients wish to effortlessly purchase tangible goods and services using their cryptocurrencies or stablecoins. Our partnership with Mastercard marks a significant stride in bringing this vision to life. United, we will unveil the full potential of cryptoassets in daily existence, guaranteeing their enduring significance and utility.”
Kraken users in the UK and Europe can now join the waitlist for the forthcoming crypto debit cards and start gearing up to utilize their BTC in everyday purchases, heralding a new era in the mainstream acceptance of Bitcoin as a functional payment medium.
Last year, Mastercard collaborated with exchange Mercado Bitcoin to introduce its Mastercard Crypto Credential, enabling its “initial peer-to-peer (P2P) pilot transactions” using aliases instead of lengthy and intricate blockchain addresses.
