Circle announced its alliance with multinational financial services company Mastercard to promote the use of USDC to facilitate fiat-to-crypto conversions, in an attempt to expand the ability of crypto companies to use digital assets for their clients.
In order to carry out the project, the companies plan to start a pilot test where the USDC will be used as a means for credit card issuers to directly settle payments to Mastercard.
Circle Co-Founder and CEO Jeremy Allaire believes that “the alliance between Circle and Mastercard reinforces how USDC is increasing its role in Internet commerce and payments. At the same time, a vital bridge is being built between payment systems in digital currency and the large established payment networks”.
For Raj Dhamodharan, Executive Vice President of Digital Assets and Blockchain Associated Products at Mastercard, this commitment creates novel “trading and payment opportunities through digital assets.” In his view, the crypto market continues to mature and we are pushing it together to reduce friction and create new market options.
Currently, there are approximately more than 25 billion dollars in USD tokens, with a volume of the order of 785 million dollars in transactions carried out through the different blockchains.
Circle intends, with the agreement, to push the USDC towards new horizons in the framework of globalization and the volume of the asset itself.