Mastercard buys its first cryptocurrency company
In another step towards cryptocurrency adoption, Mastercard acquired CipherTrace, a cryptocurrency and blockchain intelligence company that aims to provide anti-money laundering and fraud protection solutions for the digital asset space.
With this, the payment processing giant aims to ensure an ecosystem of “trusted and secure” digital assets.
The acquisition will help Mastercard provide transparency to its customers regarding payments and investments across the cryptocurrency industry.
This not only helps clients understand their risks when investing in different assets, but will also help ensure Mastercard’s regulatory obligations.
Ajay Bhalla, President of Cyber Intelligence at Mastercard, said CipherTrace will be built on Mastercard’s existing capabilities to ensure ecosystem security and protect the growing industry from being exploited by malicious individuals or institutions.
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“Digital assets have the potential to reinvent commerce, from everyday things like pay and receive, to transforming economies, making them more inclusive and efficient. With the rapid growth of the digital asset ecosystem, there is a need to ensure it is reliable and secure. Our goal is to leverage the complementary features of Mastercard and CipherTrace to do just that.”
Through CipherTrace, Mastercard would be able to monitor fraudulent activity in more than 7,000 cryptocurrencies due to the intelligence company’s blockchain data analysis.
Dave Jevans, CEO of CipherTrace, says his business “helps keep the cryptoeconomy secure” and that he is “excited to join Mastercard,” which will no doubt help expand his company’s reach.