Mastercard Partners With OKX and Nuvei to Power Stablecoin Transactions

Mastercard has partnered with two more companies — OKX and Nuvei — to further its efforts to power stablecoin transactions for consumers and merchants.

These partnerships will contribute to Mastercard’s “360-degree approach” to stablecoin use, the company said in a Monday (April 28) press release.

In its collaboration with OKX, the two companies will launch the OKX Card, which will make it easier for users to access their funds, according to the release. They will also explore other opportunities to help people engage with digital assets.

The partnership with Nuvei will give merchants the option to receive payments in stablecoins, per the release.

“When it comes to blockchain and digital assets, the benefits for mainstream use cases are clear,” Mastercard Chief Product Officer Jorn Lambert said in the release. “To realize its potential, we need to make it as easy for merchants to receive stablecoin payments and for consumers to use them.”

These two new partnerships join several others Mastercard has formed around stablecoin use, according to the release.

Mastercard’s partnerships encompasses areas like wallet enablement, card issuing and acceptance; differentiated value through cards and beyond; merchant settlement; on-chain remittances; and powering more efficient payments and commerce applications, per the release.

“We believe in the potential of stablecoins to streamline payments and commerce across the value chain,” Lambert said in the release. “Unlocking this is core to how we navigate the rapidly changing world, giving people and businesses the freedom they want by providing the choices they deserve.”

Stablecoins are increasingly heralded as the bridge between traditional finance and the cryptocurrency world, PYMNTS reported in January.

The Federal Reserve Bank of Atlanta said in a report: “The future of stablecoins as a payment method is still unfolding, but as digital assets gain wider acceptance, their adoption could grow, potentially rivaling credit or debit cards.”

At the same time, merchant adoption of stablecoins is lagging. The reasons for this include regulatory uncertainty, concerns about fraud and reversibility, technical integration hurdles and the simple inertia of established payment methods.

There’s also a user experience gap, as most people are not clamoring for change, especially if it’s more complicated than swiping a card.