by Sergio Goschenko
Mercadolibre, one of the biggest “e-tailers” in Latam, has partnered with credit giant Mastercard to make use of its tech to secure the cryptocurrency ecosystem of the company. Through this partnership, Mercadolibre will be able to use Mastercard’s Ciphertrace technology, to allow the company to enhance the control and security of the crypto transactions in its trading ecosystem.
Mercadolibre, a leading e-tailer of Latam, has partnered with Mastercard, the credit tech company, to improve its due diligence when assessing risks in its cryptocurrency trading platform. The company, which introduced cryptocurrency trading through its own payment system, Mercado Pago, will use Mastercard’s technology to keep track of transactions on its trading services to prevent money laundering and other crimes from happening.
Mastercard’s technology, which comes from the acquisition of Ciphertrace, a blockchain auditing company, will allow Mercadolibre to monitor, identify, and assess risks while helping the retailer to comply with its regulatory obligations, according to a PR statement issued by the company.
On the importance of this partnership for the improvement of their products, Paula Arregui, Mercado Pago’s senior vice president and COO, stated:
In line with our purpose of democratizing trading and financial services, we want to break down more barriers and offer a simple and secure experience with crypto assets. Our alliance with Mastercard enhances financial education, user experience and transparency in the industry.
Brazil is one of the hottest cryptocurrency markets in Latin America, with adoption levels reaching high numbers, per Mastercard Brazil reports. Compliance and due diligence are becoming more and more important in Latam environments and in the country, where the government is focusing on getting a cryptocurrency bill passed later this year.
On the compliance issue, Ajay Bhalla, president of Cyber and Intelligence at Mastercard, stated:
The potential for cryptocurrencies to change our everyday experiences is huge, but every interaction and experience must be protected.
Mercadolibre has been investing in crypto since January, with the company announcing strategic investments in Paxos, a tokenization company, and in Mercado Bitcoin, a Latam-based cryptocurrency exchange, in January. Furthermore, the company purchased $7.8 million worth of bitcoin last April for its Treasury.
What do you think about the latest partnership between Mercadolibre and Mastercard? Tell us in the comments section below.
Sergio is a cryptocurrency journalist based in Venezuela. He describes himself as late to the game, entering the cryptosphere when the price rise happened during December 2017. Having a computer engineering background, living in Venezuela, and being impacted by the cryptocurrency boom at a social level, he offers a different point of view about crypto success and how it helps the unbanked and underserved.
Image Credits: Shutterstock, Pixabay, Wiki Commons, Sharaf Maksumov
Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.
Draft Law Regulating Aspects of Crypto Taxation Submitted to Russian Parliament
A bill updating Russia’s tax law to incorporate provisions pertaining to cryptocurrencies has been filed with the State Duma, the lower house of parliament. The legislation is tailored to regulate the taxation of sales and profits in the country’s market … read more.
Central Bank of Brazil Confirms It Will Run a Pilot Test for Its CBDC This Year
The Central Bank of Brazil has confirmed that the institution will run a pilot test regarding the implementation of its proposed central bank digital currency (CBDC), the digital real. Roberto Campos Neto, president of the bank, also stated that this … read more.
Check all the news here