Mastercard and Circle partnered to enable stablecoin settlements for merchants across Europe, the Middle East, and Africa.
Summary
- Mastercard and Circle will enable settlement across the EEMEA region
- USDC and EURC settlements happen instantly, with lower fees
Credit card giant Mastercard is deepening its involvement in stablecoins. On Tuesday, August 26, Mastercard and Circle partnered to enable USDC and EURC settlement for acquirers across Eastern Europe, the Middle East, and Africa.
“This is a key move for Mastercard. Our strategic goal is to integrate stablecoins into the financial mainstream by investing in the infrastructure, governance, and partnerships to support this exciting payment evolution from fiat to tokenized and programmable money,” Dimitrios Dosis, president, Eastern Europe, Middle East, and Africa, Mastercard.
The move means that Mastercard acquirers across the EEMEA region will be able to settle payments in Circle’s stablecoins. These companies, also called acquiring banks, connect merchants to the Mastercard payments network, collecting payments from customers and settling the funds with the merchants.
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“Our expanded partnership with Mastercard will enable wider reach, global access, and scaled impact, so that USDC can become as ubiquitous as traditional payments. Together with Mastercard, we are advancing the role of stablecoins as a foundational tool for everyday financial activity worldwide,” Kash Razzaghi, Chief Business Officer at Circle.
Unlike traditional payments, stablecoin settlements can move instantly, with lower fees. Stablecoin payments can also be automatically programmed for specific purposes.
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Mastercard backs stablecoin post-GENIUS Act
Following the passage of the U.S. GENIUS Act, credit card giant Mastercard has announced its intention to get more involved in the stablecoin business. Notably, the company hopes to leverage its reputation and existing connections to play a key role in the emerging ecosystem of stablecoin payments.
On July 17, the company praised stablecoins for their role in cross-border payments and remittances as a fast and low-cost alternative to traditional banking.
Read more: Mastercard backs stablecoins post-GENIUS Act, but not as decentralized money
