Mastercard enters the world of NFTs with several key partnerships

Mastercard is investing in the NFT space with several strategic partners to enable the purchase of non-fungible tokens without owning cryptocurrencies.

Since partnering with Coinbase in January, allowing customers to purchase NFTs from the cryptocurrency exchange’s new marketplace, Mastercard is now looking to connect creators and customers by eliminating the need for buyers to own digital currencies to purchase the latest NFTs on the market. .

Some of the latest payment processor partnerships include Immutable X, Candy Digital, The Sandbox, Nifty Gateway, MoonPay, and Mintable.

Mastercard recently conducted a survey of over 35,000 people, which revealed that 59% of consumers would trust cryptocurrencies more if it were backed by a reputable company. The survey follows a year of research and development to determine how to connect Mastercard’s 2.9 billion customers to the $ 25 billion NFT market.

In September 2021, Mastercard created its first NFT, relating to famed football manager and global ambassador Jose Mourinho, and which was awarded to a UK Mastercard customer through a lottery.

Last April, Mastercard filed a trademark application with the United States Patent and Trademark Office (USPTO), announcing its intention to offer payment services and virtual spaces to its customers within the metaverse.

Visa and American Express join Web3

Visa joined Web3 last year after purchasing a CryptoPunk NFT for $ 150,000. In May, the company launched the Visa Creator Program, aimed at entrepreneurs in the fashion, music, art and film industries who want to leverage non-fungible tokens to grow their businesses.

American Express has also filed seven patent applications to assert its presence in the metaverse by enabling payments in NFT markets, creating branded virtual cards, and offering custody services.

A simplified NFT purchase

Its customers got a taste of Mastercard’s NFT strategy when the payment company struck a deal with Coinbase in January of this year. This partnership allows you to buy NFT with a Mastercard without owning any cryptocurrency.

In a post, Raj Dhamodharan, Head of Digital Asset and Blockchain Partnerships at Mastercard, wrote:

“Today, if you want to buy an NFT, like a digital artwork, you must first open a crypto wallet, buy digital currency, and then use it to buy a token on an online marketplace. We think the process should be a lot easier. This will ensure that all non-fungible tokens can log in. “

That said, while Mastercard has an ambition to allow cryptocurrency-free NFT purchases, customers who buy these tokens will still need a crypto wallet in which to store them.

Last year, the company partnered with cryptocurrency exchange and custody platform Bakkt to allow Bakkt Mastercard cardholders to instantly earn cryptocurrency rewards when they use their card in select locations.

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