Mastercard is preparing to buy Zerohash for $2 billion to develop the digital asset market

Key points:

• Mastercard is considering purchasing the Zerohash infrastructure platform for $1,5–2 billion to strengthen its presence in the stablecoin market.
• Integrating Zerohash’s technology will allow Mastercard to directly manage the interaction between fiat and digital assets, strengthening its control over tokenized payments.
• The purchase will be part of the company’s strategy to develop digital finance and create a tokenized money ecosystem.

Mastercard is considering expanding the stablecoin market through the acquisition of Zerohash. According to sources familiar with the situation, Mastercard intends to acquire the cryptocurrency and stablecoin infrastructure platform for $1,5–2 billion.

Founded in 2017, Chicago-based Zerohash provides infrastructure that allows fintech companies, brokers, and merchants to add cryptocurrency, stablecoin, and tokenization features via API, including custody, conversion, and payouts.

The implementation of this stack into Mastercard’s systems will provide direct control over the interaction between fiat financing and digital assets across its platforms. This is a priority as banks and payment companies experiment with 24/7 service.

Mastercard is looking toward a future of tokenized money

Mastercard has already launched services with cryptocurrency partners and pilot programs that convert cryptocurrency balances into fiat money that can be spent at the point of sale.

According to a forecast published last summer in a report by Keyrock and Bitso, the volume of payments in stablecoins could reach $1 trillion by 2030, thanks to institutional adoption, currency settlements, and cross-border flows, which are the driving factors for growth.

Source: Keyrock

Mastercard has supported stablecoins since 2021 and has launched several partnerships and products, including stablecoin settlements, cryptocurrency card services, and tokenized fund infrastructure in various regions. However, the current momentum may be a direct result of the regulatory clarity brought by the GENIUS Act, which prompted Mastercard and some of its competitors to increase their investments in stablecoin-based payment systems.

In April, Mastercard enabled 150 million merchants in its network to accept payments in stablecoins, regardless of the buyer’s payment method. The initiative was implemented in partnership with payment processor Nuvei and stablecoin issuers Circle and Paxos.