Popular cryptocurrency wallet MetaMask is testing the first entirely on-chain payment card running on the Mastercard payment network.
The card, issued by Baanx, will allow users to make everyday purchases using crypto and will be accepted everywhere cards are accepted.
An On-Chain Payment Card
MetaMask is reportedly testing an entirely on-chain payment card that runs on Mastercard’s payment network. According to promotional materials, the card will be issued by Baanx. A project of such magnitude would unite two behemoths in their respective fields. MetaMask is the largest self-custody wallet, with over 30 million monthly active users. On the other hand, Mastercard provides critical infrastructure in the conventional financial system through its credit and debit card network, which spans the globe.
First Ever Truly Decentralized Web3 Payment Solution
According to promotional materials and publications, the MetaMask/Mastercard payment card will be the first truly decentralized Web3 payment solution. Card users will be able to use their card to spend crypto on everyday purchases at any location that accepts cards as a mode of payment.
When approached for a statement, a Mastercard representative pointed out a previous statement press release,
“Mastercard is bringing its trusted and transparent approach to the digital assets space through a range of innovative products and solutions – including the Mastercard Multi-Token Network, Crypto Credential, CBDC Partner Program, and new card programs that connect Web2 and Web3.”
Mastercard, Visa Courting Blockchain Developers
Mastercard and rival Visa have been reaching out to blockchain developer communities and self-custody wallet providers. In October, it was reported that Mastercard was collaborating with hardware wallet firm Ledger and MetaMask. The report regarding the collaboration was based on a pitch deck from Mastercard evaluating new models for the global issuance of stablecoins for on-chain settlements.
Last year, Mastercard launched a product called Crypto Credential, which aims to facilitate more secure transactions on the blockchain. To ensure the product’s adoption, Mastercard teamed up with the entities behind the Solana, Avalanche, Polygon, and Aptos blockchains.
Meanwhile, Visa has also been amping up its efforts to create solutions aimed at the digital asset space. One of the firm’s biggest efforts is to reduce transaction fees for user transactions on Ethereum. In January, Visa announced a partnership with Web3 infrastructure provider Transak to facilitate crypto withdrawals and payments through its Visa Direct solution. This allowed users to withdraw currencies directly from wallets such as MetaMask to a Visa debit card.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
