Mastercard introduces its 'naming service' for crypto transactions

Mastercard has crypto-credential-goes-live-with-first-peer-to-peer-pilot-transactions-adds-new-partners-to-the-ecosystem/” rel=”noopener nofollow noreferrer”>Announced today, the “Mastercard crypto Credential,” a feature that allows users of cryptocurrency exchanges to send and receive cryptocurrencies through aliases, similar to naming service solutions such as ethereum Name Service.

A video in the ad shows the process, similar to a bank transfer: the user is given an alias to send and receive funds through supported exchanges, and this alias is checked for wallet compatibility, preventing transactions if the wallet does not support the asset or blockchain. , thus protecting against the loss of funds.

Live trading capabilities have been enabled on exchanges such as Bit2Me, Lirium and Mercado bitcoin, facilitating blockchain transactions on Latin American and European brokers.

“Mastercard continues to invest in its technology, standards and partnerships to bring safe, simple and secure payments to the forefront,” said Walter Pimenta, executive vice president of Product and Engineering for Latin America and the Caribbean at Mastercard. “As interest in blockchain and digital assets continues to increase in Latin America and around the world, it is essential to continue providing trusted and verifiable interactions through public blockchain networks. “We are delighted to work with this dynamic set of partners to bring Mastercard crypto Credential closer to realizing its full potential.”

Users in countries such as Argentina, Brazil, Chile, France, and several others can now make domestic and cross-border transfers across multiple currencies and blockchains. Expansion continues as Brazilian cryptocurrency exchange Foxbit joins the Mastercard crypto Credential pilot ecosystem and Lulubit users gain access through Lirium integration.

Mastercard crypto Credential ensures that interactions on blockchain networks are verified, confirming that users meet a set of verification standards and that the recipient's wallet supports the transferred asset. This system simplifies transactions by exchanging metadata, eliminating the need for consumers to know which assets or chains the recipient backs, thereby improving trust and certainty.

Additionally, Mastercard crypto Credential supports the exchange of travel rules information, a regulatory requirement for cross-border transactions to maintain transparency and prevent illegal activities.

The announcement highlights that peer-to-peer transactions are just the beginning, with possible future use cases including nfts, ticketing, and other payment solutions.