Mastercard is working on a new service that would allow thousands of financial institutions on its payments network to integrate cryptocurrency-related products, CNBC has learned. The payment giant has entered into a partnership with Bakkt, according to executives at the two companies.
Subscribe to our Telegram channel to stay up to date on the latest crypto and blockchain news.
"We want to offer all of our partners the ability to more easily add crypto services to whatever it is they are doing. Our partners, be they banks, fintechs or merchants can offer their customers the ability to buy, sell and hold cryptocurrency through an integration with the Baktt platform," said Sherri Haymond, Head of Digital Partnerships at Mastercard.
Bakkt CEO, Gavin Michael, says the firm wants to lower the barriers to entry, allowing people to take something like rewards points and trade them into crypto. Bakkt's stock, which publicly listed on the NYSE under the ticker BKKT, ended skyrocketed by over 70% amid the news. As of press time, BKKT is trading at the $16,3 mark.
The news comes after Mastercard signed an agreement with CipherTrace to acquire the blockchain forensic company to extend its capabilities into the cryptocurrency space. The joint crypto-focused solution provides businesses with "greater transparency to help identify and understand their risks and to help manage their digital asset regulatory and compliance obligations."
Access more than 50 of the world's financial markets directly from your EXANTE account – including NASDAQ, London Stock Exchange and Tokyo Stock Exchange.