Mastercard Expands Stablecoin Settlement for Credit Card Transactions on Multiple Blockchains
Mastercard is enhancing its stablecoin settlement functionality for credit card transactions, enabling settlement using regulated stablecoins such as Ripple's RLUSD, Circle's USDC, Paxos-issued tokens (PYUSD, USDG, USDP), and SoFi's SoFiUSD. This expansion allows intraday, holiday, and weekend settlements, supporting a 24/7 digital economy. Settlements will occur on blockchains including Ethereum, Solana, XRP Ledger, Base, and Tempo. The initiative builds on existing partnerships with Circle and Ripple, and initially supports transactions in the U.S. and Latin America via financial institutions like ARQ, CBW Bank, Cross River, Lead Bank, and Nuvei. Mastercard EVP Raj Dhamodharan emphasized real-world utility in settlement, while Circle's Chief Commercial Officer Kash Razzaghi highlighted the need for infrastructure beyond traditional banking hours. Ripple SVP Jack McDonald called the move a landmark validation of blockchain for critical payment infrastructure. Mastercard's stock dipped about 2.6% on the announcement day.
Key facts
- Mastercard enables credit card settlement using regulated stablecoins like RLUSD, USDC, and SoFiUSD.
- Supports intraday, holiday, and weekend settlements for a 24/7 economy.
- Blockchains include Ethereum, Solana, XRP Ledger, Base, and Tempo.
- Initial partners in U.S. and Latin America: ARQ, CBW Bank, Cross River, Lead Bank, Nuvei.
- Mastercard stock fell ~2.6% on announcement day.