Mastercard has partnered with Chainlink to enable over 3 billion cardholders to buy cryptocurrencies directly on blockchain networks. This move marks a major milestone in the convergence between traditional finance and decentralized finance.
How the system works
- Users pay with a Mastercard credit or debit card
- Fiat settlement is processed by Mastercard’s global infrastructure
- ZeroHash handles custody and liquidity of the crypto assets
- The trade executes on-chain through platforms like Swapper Finance using Uniswap or other DeFi protocols
- Chainlink’s CCIP (Cross-Chain Interoperability Protocol) enables secure communication between off-chain and on-chain systems
Strategic objectives
- Lower barriers to crypto adoption for mainstream users
- Deliver a non-custodial experience where users retain control of their assets
- Bring together the strengths of both financial worlds in a compliant way
Leadership insights
Sergey Nazarov, co-founder of Chainlink, stated that this is the kind of real-world integration Chainlink was built to support.
Raj Dhamodharan, Mastercard’s EVP of Blockchain, emphasized their vision to connect the world of on-chain commerce with the off-chain economy.
Market impact
- The LINK token saw a significant price increase following the announcement
- The infrastructure now supports full lifecycle transactions from card payment to blockchain settlement
- This partnership strengthens Mastercard’s push into the digital asset space, following earlier work with MoonPay and MetaMask
This collaboration sets a new standard for on-chain financial access. By allowing billions to interact with crypto in a simple, secure, and regulated way, Mastercard and Chainlink are laying the groundwork for a more connected and inclusive financial system.
It is no longer a question of if crypto will go mainstream. The path is being built.
