Mastercard, a global payment platform, recently announced a partnership with Stables, an Australian stablecoin firm, to integrate their digital wallet with Mastercard’s international payment services. Through this collaboration, retailers in the Asia-Pacific region can use their stablecoins for purchases at any merchant that accepts Mastercard.
Stables Develop Stablecoin-Only Wallet
As part of the collaboration, Stables has developed a stablecoin-only wallet with a Mastercard-supported payment card. Users can store and use the USDC stablecoin for transactions by converting it to fiat currency to settle their payments using Mastercard’s network.
Meanwhile, retailers can access the payment card through the Stables mobile wallet apps. Kallan Hogan, Head of Fintech at Mastercard Australia, stated that the collaboration with Stables is a significant milestone in adopting Web3 technology.
Hogan added that Mastercard is dedicated to facilitating innovative payment projects that give cardholders the flexibility to use their assets. “Stables is developing a Web3 solution that utilizes Mastercard’s worldwide network, as well as cybersecurity and intelligence tools like Ekata and CipherTrace, focusing on security and trust,” Hogan added.
According to Stables’ co-founder and COO, Daniel Li, the Mastercard-integrated wallet will be available to users in Q2 of 2023. At inception, only users based in Australia will have access to the stablecoin digital Mastercard.
However, the company plans to expand the service to the United Kingdom, the United States, Europe, and most of the Asia Pacific.
Stablecoins Play A Major Role In The New Financial System – Stables’ COO
In addition, Li explained that Stables utilizes its settlement engine, which exclusively operates with USDC and directly connects with Mastercard to allow seamless settlements. Simultaneously, the wallet accepts deposits in several stablecoins, including USDT and Binance USD, but automatically converts all deposits to USDC at no additional expense.
Furthermore, the COO expressed confidence in the future of USDC, despite recent events surrounding the failure of Silvergate Bank. Silvergate was a vital network for financial institutions to convert between fiat and cryptocurrencies and served as an effective on-ramp for digital currencies in the United States.
The COO stated that stablecoins would have a critical role in the new financial system and be a core component in connecting TradeFi and DeFi. “Stables remains committed to collaborating with Circle and USDC as an essential part of this ecosystem,” the COO added.
According to Li, aside from cryptocurrency, Stables allows users to add funds to their accounts using direct debit, bank transfers, and other payment methods. Currently, Stables enables withdrawals and deposits in Australian dollars.
Soon, it will also support the British Pounds, the U.S. Dollar, Euro, and other currencies from regions such as Africa, Latin America, and APAC.
