Mastercard is launching the OKX Card, a stablecoin-powered payment card in partnership with OKX, to simplify transactions and integrate stablecoins into everyday commerce.
Mastercard is expanding its support for stablecoin payments, working with major players like Circle, Nuvei, and Paxos to enable direct merchant settlement.
A stablecoin is a type of cryptocurrency that maintains a fixed value relative to a fiat currency, such as the US dollar.
These coins are designed to reduce volatility and provide stability in the crypto market.
Stablecoins can be pegged to a specific currency or commodity, ensuring their value remains consistent with the US dollar.
They are often used for cross-border transactions, trading, and hedging against price fluctuations.
The company is partnering with OKX to launch the ‘OKX Card‘, which aims to link crypto trading and Web3 spending to Mastercard’s vast merchant network. This move seeks to simplify transactions by integrating stablecoins into everyday commerce, making it easier for merchants to receive payments in stablecoins like ‘USDC‘.
Mastercard’s new global system covers the full range of stablecoin use cases, including wallet enablement and card issuance, as well as merchant settlement and on-chain remittances. The company has previously partnered with crypto exchanges like Kraken, Binance, and Crypto.com to allow users to pay with stablecoins via traditional cards.
Stablecoins, which are cryptocurrencies pegged to stable assets like the U.S. dollar, have been gradually moving beyond trading venues into mainstream payments. Mastercard‘s initiative aims to unlock the potential of stablecoins to streamline payments and commerce across the value chain, providing users with more choices and giving businesses the freedom they desire.
The ‘OKX Card‘ is being launched in partnership with OKX.
Merchants will be able to settle transactions directly in stablecoins like ‘USDC‘ through collaborations with Nuvei and Circle.
Paxos will help extend this functionality to other supported stablecoins like ‘USDP’.
‘When it comes to blockchain and digital assets, the benefits for mainstream use cases are clear,’ said Jorn Lambert, chief product officer at Mastercard. ‘To realize its potential, we need to make it as easy for merchants to receive stablecoin payments and for consumers to use them. We believe in the potential of stablecoins to streamline payments and commerce across the value chain.’
