Mastercard has formed a partnership with ecommerce tech firm Mercado Libre to ‘strengthen the security and transparency’ of its new cryptocurrency program in Brazil.
Under the provision of the agreement, Mercado Libre will leverage Mastercard’s CipherTrace tech to monitor and identify risks in relation to its crypto project.
Last year, the tech firm launched its crypto program as part of its ambitions to ‘democratise financial services in Latin America’, with Mercado Libre and Mercado Pago customers able to buy, sell and hold cryptocurrencies.
“Brazil is one of the hottest crypto markets in Latin America, with high levels of cryptocurrency adoption,” commented Estanislau Bassols, Mastercard Brazil Division President.
“By partnering with Mercado Libre, we’re building on our longstanding relationship of working together to solve the needs of our shared customers, helping consumers to pay simply and securely using crypto.”
Mastercard’s CipherTrace technology is an advanced digital intelligence and analytics program to measure the risk surrounding individual crypto transactions using ‘well-established’ risk factors to assign a risk rating.
Ajay Bhalla, President of Cyber & Intelligence at Mastercard, added: “The potential for cryptocurrencies to change our everyday experiences is massive.
“But every interaction and experience must be protected. Through advanced crypto intelligence, Mastercard’s CipherTrace technology is strengthening the security and transparency of the crypto ecosystem and bringing trust to these new payment flows.”
Furthermore, the partnership ensures that Mastercard is expanding its momentum in the crypto ecosystem. It aims to aid the development of new platforms to support Central Bank Digital Currency programs across other blockchain platforms such as NFTs.
Paula Arregui, Senior Vice President and COO for Mercado Pago, concluded: “Aligned with our purpose of democratising commerce and financial services, we want to break more barriers, providing a simple and safe experience with crypto assets.
“The partnership with Mastercard allows us to support financial education, user engagement and drive a more transparent industry.”
