crypto debit card, steps towards non custodial

Mastercard, in collaboration with Mercuryo, has launched a new crypto debit card in euros: now users can spend cryptocurrencies from non-custodial wallets at millions of merchants, enhancing financial autonomy.

Let’s see all the details below. 

Mastercard launches a crypto debit card denominated in euros: a new step towards non-custodial

The adoption of cryptocurrencies is gaining momentum globally. 

Mastercard, one of the global giants in payments, has decided to capitalize on this trend through a new collaboration with Mercuryo, a European company specialized in crypto payment infrastructure. 

The initiative marks another step forward for Mastercard in its mission to integrate traditional finance with the world of cryptocurrencies, supporting the use of non-custodial wallets for everyday transactions.

The main novelty of this partnership is the introduction of a crypto debit card denominated in euros. 

This latest feature allows users to spend their cryptocurrencies, such as Bitcoin (BTC), directly from their non-custodial wallets at over 100 million merchants that accept Mastercard globally.

This service represents a turning point for those who wish to use their digital assets without relying on intermediaries or centralized platforms, promoting a self-custody model of cryptocurrencies.

The self-custody of cryptocurrencies: a fundamental pillar

Self-custody of cryptocurrencies is a key concept in the blockchain world, as it allows users to hold and control their own digital assets directly. 

Eliminating consequently the need to depend on third parties such as banks or centralized exchange.

In self-custody wallets, the user is the only one responsible for the management and security of their funds, as they personally hold the private key necessary to access the wallet.

This autonomy, however, requires a high degree of awareness from the users, who must be able to protect their private keys securely. 

For many, this aspect represents a challenge, but self-custody also offers a high level of privacy and security, making it a preferable choice for those who want to avoid risks associated with relying on external platforms.

Mastercard, with its new partnership with Mercuryo, aims to make the self-custody experience more accessible and secure, breaking down the barriers between the world of cryptocurrencies and conventional payments.

Christian Rau, senior vice president of Mastercard for the crypto and fintech sector, stated that the collaboration with Mercuryo is part of a broader commitment to promote the use of self-custody wallets and improve the user experience.

“We are committed to working with our partners to innovate the way people manage and spend their cryptocurrencies.”

The objective of Mastercard is clear: to eliminate the traditional difficulties that users encounter when trying to use cryptocurrencies for daily payments. 

Offering consequently an integrated solution that allows spending digital assets in a simple, secure, and reliable way, wherever Mastercard is accepted. 

Thanks to this debit card, users will be able to access their funds in real-time, without having to transfer them to third-party platforms, and use them at a wide network of merchants.

Why does Mastercard support non-custodial wallets?

In recent years, Mastercard has shown a growing interest in the ecosystem of criptovalute, recognizing the role they are acquiring in the world of payments.

One of the main reasons why Mastercard is focusing on self-custody is related to the complexities associated with buying and selling cryptocurrencies through centralized exchanges. 

These processes can be slow, expensive, and, in some cases, risky for users who prefer to avoid entrusting their funds to third parties.

Raj Dhamodharan, head of blockchain and digital assets at Mastercard, emphasized that many cryptocurrency holders prefer not to use centralized exchanges due to their complexity and associated risks. 

The debit card proposed with Mercuryo represents a practical solution to overcome these difficulties, allowing users to use their digital assets in a direct and transparent way.

Like any other financial service, the use of the Mercuryo crypto debit card also involves costs. 

The card includes an issuance fee of 1.60 euros and a monthly maintenance fee of 1 euro. Additionally, there is a 0.95% fee applied by Mercuryo for each transaction. 

These costs are relatively low when compared to the typical fees of centralized exchanges, offering a convenient alternative for those who intend to use cryptocurrencies as a payment method.

In conclusion, this initiative could pave the way for greater adoption of cryptocurrencies in the world of payments, breaking down the barriers between the digital world and the physical one. 
The users will thus be able to benefit from a more flexible payment experience, without compromising the security or autonomy of their funds.