At the Meridian 2024 conference in London, the Stellar Development Foundation (SDF) on 16th October, announced a groundbreaking partnership with Mastercard to integrate Mastercard’s Crypto Credential solution with the Stellar network.
The collaboration is designed to simplify and secure crypto transactions, driving wider adoption of blockchain technology, and comes as Stellar’s trading volume has surged by over 38%, just after the news.
What Does the Stellar and Mastercard Partnership Bring?
Using blockchain networks, Mastercard Crypto Credential facilitates transaction verification between customers and enterprises. This solution will improve the security and compliance of cryptocurrency transactions by being integrated into the Stellar ecosystem.
With the help of this integration, cryptocurrency wallet providers like Coins.ph, Mercado Bitcoin, and Wirex will be able to offer safe and easy transactions.
The cooperation offers several advantages, one of which is the streamlining of cryptocurrency remittances. Users can send money by just using the email address of the recipient, eliminating the need for complicated wallet addresses.
Behind the scenes, Mastercard’s Crypto Credential makes sure that the transaction is safe, the destination wallet is legitimate, and all legal criteria are satisfied.
Focusing on Remittances and Peer-to-Peer Transfers
The initial focus of Mastercard and Stellar’s relationship will be on peer-to-peer transfers and credentialing for remittances. Customers will experience quicker and safer cross-border transactions thanks to Stellar’s quick settlement times and inexpensive fees in conjunction with Mastercard Crypto Credential’s security and usability.
Stellar’s trade volume increased by more than 38%, indicating that more people are becoming interested in the network. This is probably due to the new collaboration and Stellar’s continuous efforts to increase its footprint in the blockchain industry.
Mastercard and Stellar hope to spur further creativity and uptake of blockchain technology as they investigate new applications for it.
A Step Toward Mainstream Adoption
The partnership between Stellar and Mastercard marks a significant step toward making cryptocurrency more user-friendly and secure. By integrating Mastercard’s Crypto Credential into the Stellar network, both companies aim to foster wider adoption of blockchain technology and bring more trust to the digital assets ecosystem.
Denelle Dixon, CEO of the Stellar Development Foundation, emphasized the importance of the collaboration: “Working with Mastercard to integrate Crypto Credential into Stellar will make transferring funds safer and faster, driving blockchain adoption.”
Raj Dhamodharan, Executive Vice President of Blockchain & Digital Assets at Mastercard, echoed this sentiment, noting that the integration will bring more trust and innovation to the ecosystem.
The integration has the potential to impact global remittance markets, especially in regions like the Philippines, where Coins.ph is a leading exchange.
With $37.2 billion in remittances sent to the Philippines in 2023, Wei Zhou, CEO of Coins.ph, sees this collaboration as a significant opportunity to bring millions on-chain, enabling faster, lower-cost cross-border transactions.
In Brazil, Mercado Bitcoin’s Senior Vice President Fabrício Tota also praised the partnership, highlighting its potential to innovate and connect traditional finance with blockchain.
Meanwhile, Pavel Matveev, Co-Founder of Wirex, sees the integration as a way to drive the future of digital payments by making crypto more accessible for everyday use.