Global payment technology company Mastercard now allows the purchase of non-fungible tokens (NFTs) using fiat.
For the new project, Mastercard has partnered with Immutable X, a layer 2 network for Ethereum. The company will also work with NFT-based online game The Sandbox, fintech company MoonPay, and NFT platforms Nifty Gateway, Candy Digital, Spring, and Mintable.
Mastercard and NFT
With the Mastercard initiative, people interested in NFTs can purchase them without needing to acquire the crypto first. This way, buyers are relieved of the “stress and uncertainty” that might be part of getting an NFT, especially for less tech-savvy people.
On the other hand, NFT creators are exposed to a larger audience, which likely leads to growth in their customer base.
As for security, Mastercard promises to “enhance customer security” and “protect user data” for people who purchase NFTs with its card. The project will likely discourage bad actors who seek to defraud people of their digital works. The hype in NFTs following million dollar sales and celebrity endorsements has attracted scammers, as would anything popular.
Late last month, a Moonbird NFT holder lost his 29 NFTs worth $1.5 million to fraud. The malicious buyer demanded that he complete the transaction on a private platform, only to evade his end of the deal.
Another motivating factor behind Mastercard’s latest development is a survey released this month. Of the 35,000 people surveyed in 40 countries, 45% said they had purchased an NFT or were considering doing so. About half suggested flexible payment options, i.e. paying with a credit or debit card, other than crypto.
“We believe the process of purchasing an NFT should be simpler and more secure,” reads Mastercard’s news section.
Besides the aforementioned entities, Mastercard partnered with Coinbase NFT for a similar product in January.
More recently, the payment company created a joint venture with Nexo – a platform offering crypto loans. Mastercard now provides the Nexo card, allowing users to spend their debts with their cryptocurrencies as collateral.
According to Mastercard, it distributed 2.9 billion payment cards worldwide. Meanwhile, the NFT sector continues to gain momentum, having reached a record revenue of $25 billion in 2021. The company’s latest project now seeks to explore the potential of the NFT industry, in addition to promote its adoption.
Binance Free $100 (Exclusive): Use this link to sign up and receive $100 free and 10% off Binance Futures fees for the first month (terms).
PrimeXBT Special Offer: Use this link to sign up and enter code POTATO50 to receive up to $7,000 on your deposits.