Mastercard Ends Crypto Card Partnership with Binance Amid Regulatory Scrutiny
Summary:
Mastercard is ending its partnership with Binance, a major cryptocurrency exchange, due to increased regulatory scrutiny. The termination affects four crypto card programs in South America, with cardholders given the opportunity to convert their Binance wallet holdings. The decision comes in the wake of legal challenges faced by Binance, including lawsuits from the SEC and CFTC in the US. Visa has also stopped issuing co-branded cards with Binance in Europe.
Mastercard is set to end its partnership with Binance, a major cryptocurrency exchange, next month. The decision comes amidst increased regulatory scrutiny of Binance and the reasons behind the move have not been disclosed. The collaboration between Mastercard and Binance included four crypto card programs in Argentina, Brazil, and Colombia, which will be discontinued on September 22. However, Mastercard's other crypto card programs will not be affected. Cardholders will have the option to convert their Binance wallet holdings during the wind-down period. The prepaid crypto card allowed users to make payments in local fiat currencies using their crypto assets. The termination of the partnership follows the legal challenges faced by Binance, including lawsuits from the Securities and Exchange Commission and the Commodity Futures Trading Commission in the United States. The US Department of Justice is also reportedly investigating Binance for potential violations of sanctions. Visa has also stopped issuing co-branded cards with Binance in Europe due to regulatory concerns. Both Mastercard and Binance declined to comment on the matter.
Published At
8/25/2023 7:12:53 AM
Disclaimer: Algoine does not endorse any content or product on this page. Readers should conduct their own research before taking any actions related to the asset, company, or any information in this article and assume full responsibility for their decisions. This article should not be considered as investment advice. Our news is prepared with AI support.
Do you suspect this content may be misleading, incomplete, or inappropriate in any way, requiring modification or removal?
We appreciate your report.