Mastercard to acquire stablecoin platform BVNK for USD1.8b
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The news: Mastercard said that it will acquire stablecoin infrastructure startup BVNK in a deal valued at up to USD1.8 billion ($2.53 billion), as the payments giant doubles down on digital assets.
The numbers: The transaction includes USD300 million in contingent payments, Mastercard said in a statement on Tuesday, without disclosing whether the deal is structured with cash or stock.
The context: The deal comes just four months after talks between BVNK and crypto exchange fell through over an approximately USD2 billion transaction.
Mastercard said the addition of London-based BVNK will expand Mastercard’s support for digital assets and allow greater connectivity between fiat payment rails and blockchain-based systems.
Mastercard added that the BVNK infrastructure will complement its global payments network and enable new use cases such as cross-border remittances, payouts, and business-to-business and peer-to-peer payments.
What they said: “We expect that most financial institutions and fintechs will in time provide digital currency services, be it with stablecoins or tokenized deposits. We want to support them and their customers with a best in class, highly compliant, interoperable offering that brings the benefits of tokenized money to the real world,” said Jorn Lambert, chief product officer, Mastercard.
The source: Mastercard press release
