Mastercard has partnered with Mercado Libre to strengthen the security and transparency of its recently launched crypto program in Brazil.
Mastercard's CipherTrace technology will allow Mercado Libre to monitor, identify and understand risks, and help the retailer manage its regulatory and compliance obligations.
As part of its mission to democratize financial services in Latin America, last December Mercado Libre announced that millions of Mercado Libre and Mercado Pago customers in Brazil would be able to buy, hold and sell cryptocurrencies.
CipherTrace’s advanced digital intelligence and analytics technology helps determine the risk of individual crypto transactions and assign a risk rating to any virtual asset service provider involved, based on well-established risk indicators. It also offers crypto tracing solutions to facilitate investigations.
“The potential for cryptocurrencies to change our everyday experiences is massive,” said Ajay Bhalla, president, Cyber & Intelligence at Mastercard. “But every interaction and experience must be protected. Through advanced crypto intelligence, Mastercard’s CipherTrace technology is strengthening the security and transparency of the crypto ecosystem and bringing trust to these new payment flows.”
“Brazil is one of the hottest crypto markets in Latin America, with high levels of cryptocurrency adoption. By partnering with Mercado Libre, we’re building on our longstanding relationship of working together to solve the needs of our shared customers, helping consumers to pay simply and securely using crypto”, says Estanislau Bassols, Mastercard Brazil Division President.
“Aligned with our purpose of democratizing commerce and financial services, we want to break more barriers, providing a simple and safe experience with crypto assets. The partnership with Mastercard allows us to support financial education, user engagement and drive a more transparent industry”, highlights Paula Arregui, Senior Vice President and COO for Mercado Pago.
Recognizing consumer appetite for fast and flexible access to digital assets, Mastercard has expanded its capability to provide security solutions across multiple rails. Acquired by Mastercard in 2021, CipherTrace is a leading cryptocurrency intelligence and blockchain analytics company that provides solutions for some of the world’s largest banks, exchanges, financial institutions, and governments.
The partnership with Mercado Libre adds to Mastercard’s momentum, which draws on its growing partnerships to build safe, simple, and secure cryptocurrency transactions. It will also help with the development of new platforms to test and support Central Bank Digital Currency programs around the broader use of blockchain technology, NFTs, and offer the potential to support select fiat-backed stablecoins directly on its network.