Mastercard has signed an agreement to acquire blockchain intelligence company CipherTrace to strengthen its expansion strategy in the cryptocurrency industry and provide a high level of transparency.
The multinational financial services and electronic payments company based in New York (United States) continues to advance in its crypto adoption strategy. Mastercard, which earlier this year reported that it would integrate the cryptocurrencies, to its payment network, has just announced the signing of an agreement to acquire CipherTrace, one of the leading intelligence and forensic analysis companies in the world. blockchain most recognized in the industry.
The agreement was informed Mastercard announced on Thursday that the acquisition of CipherTrace is part of its strategy to accelerate and expand its growth in the crypto industry. Mastercard said that security and transparency are key elements in its path to supporting cryptocurrencies and digital assets. In this sense, CipherTrace, which has the capacity to analyze some 900 cryptocurrencies and extensive experience in this field, will help Mastercard strengthen security, detect fraudulent activities and provide a high level of transparency and trust to its customers.
The company's recent announcements underscore the growing interest in cryptocurrencies and digital assets. Mastercard has not disclosed the amount of the acquisition at this time. The global financial services company also said that the purchase of CipherTrace will be completed before the end of the year.
CipherTrace confirmed the news via its web page, noting that the company has joined the larger Mastercard family to bring greater security, transparency and trust to digital assets.
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Cryptocurrencies in the mainstream
Mastercard said the acquisition of blockchain intelligence firm CipherTrace is driven by the massive adoption of cryptocurrencies and digital assets globally. Cryptoassets are now becoming part of everyday activities, and are becoming more intertwined with them with each passing day, it said.
On the other hand, Ajay Bhalla, president of cyber and intelligence at Mastercard, also stated that cryptocurrencies and digital assets are demonstrating their great potential to reinvent and reimagine commerce. For Bhalla, cryptocurrencies are having a major impact in the transformation of common and everyday activities such as payments for goods, products and services, to an enormous influence on global economies, which thanks to the innovation of these technologies are now more inclusive and efficient.
The integration of cryptocurrencies and other products developed within this industry, such as DeFi and NFTs, to the mainstream highlights the need for companies to have new solutions and highly powerful analysis and intelligence tools, in order to guarantee the security and trust of participants in the cryptoeconomy. Through CipherTrace, Mastercard wants to give consumers the same confidence and peace of mind they currently experience with traditional payment methods, it reported.
Security and compliance
Mastercard will use CipherTrace’s product and service offerings, alongside its cybersecurity solutions, to provide businesses with a higher level of transparency. The company’s goal is to continue expanding its services in the crypto industry and help its clients identify and understand the risks within this market, as well as help manage their regulatory obligations and ensure compliance within cryptocurrencies.
“With the rapid growth of the digital asset ecosystem comes the need to ensure it is trustworthy and secure. Our goal is to leverage the complementary capabilities of Mastercard and CipherTrace to do just this.”, Bhalla said.
CipherTrace is an intelligence company specializing in blockchain analysis. Its solutions and tools help monitor activity within cryptocurrency networks, in order to identify and track any suspicious activity. In June, this firm closed a funding round led by the investment company Third Point Ventures for $27,5 million. CipherTrace reported that the funds will be used to create new crypto surveillance tools and to expand its services in the industry globally. By 2022, the analysis company will hire 100 new professionals.
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