Mastercard Applies Crypto Credential Program to Self-Custody Wallets

In what is the most user-friendly crypto move of the week, Mastercard’s Crypto Credential feature is coming to self-custody wallets. Instead of typing long-winded wallet addresses, users will be able to transfer crypto assets with more manageable, previously verified username aliases. 

What this means is no more sweating over a lost transaction because of one misplaced character. The new setup acts like a universal spam filter and double-checker for your funds, ensuring the recipient’s wallet actually supports the asset you’re sending.

The first blockchain to enable this functionality is Polygon, and the program users will have the option to request a soulbound token on Polygon to signal their legitimacy.

Mastercard Crypto Experience, Now Enhanced

This is big news for anyone who’s ever felt the dire need to triple-check a long hexadecimal wallet address before sending crypto. With Mastercard’s new Crypto Credentials feature, that stress finally becomes a thing of the past.

To use it, however, users must first complete a one-time KYC verification and link their chosen username to a supported self-custody wallet. The verification itself is handled through Mercuryo. Once KYC is complete, users can connect their Mastercard Crypto Credential username to their self-custody wallets and start transacting with confidence.

Think of it as a nickname for your wallet. The new username-based system is designed to reduce copying errors, simplify crypto payments, and make sending or receiving digital assets safer and far more hassle-free.

It also acts as a welcoming entry point for people who are new to crypto, helping broaden its global reach. With this streamlined approach, Mastercard is raising a big, friendly flag to the crypto-curious. Or, in the words of Raj Dhamodharan, the company’s executive VP of blockchain and digital assets: “By streamlining wallet addresses and adding meaningful verification, Mastercard Crypto Credential is building trust in digital token transfers.”

Mastercard on Fire

The username functionality is only the latest gravy from Mastercard’s ever-evolving crypto kitchen. Back in June, the card company made a major Web3 stride when it partnered with Chainlink to enable its users to purchase crypto directly on the chain.

Moreover, the company partnered with Kraken to roll out physical Mastercard crypto debit cards in the UK and Europe, enabling seamless integration and direct payments with stablecoins and other cryptocurrencies. 

Mastercard is also the backbone of MetaMask’s new crypto debit card, allowing crypto savvy to cut out the middlemen and pay directly from their self-custody MetaMask wallets.

Visa, Meanwhile

Its main competitor, Visa, isn’t sitting idle either. Visa struck a deal with Coinbase to enable crypto purchases with debit cards. Linked directly to the exchange, the Coinbase Card allows users to pay (or fund their casino account) using Bitcoin, Ethereum, Litecoin, and other tokens directly through the Coinbase app.

Even more significantly, while Mastercard makes sending fun, Visa is out there making spending seamless by integrating stablecoins into the banking backend. The card company is developing a new service that would allow stablecoin payouts pegged to the US dollar to be sent from business accounts funded using fiat currency. The service is in the pilot test phase and is expected to roll out in 2026.

Card Wars, With Crypto Flavor

Yes, there’s an element of competition, particularly given the rumors of Mastercard taking over Zerohash. But more than just competitive positioning, the pair’s struggles to integrate crypto into everyday finance signal a fundamental shift in how the largest financial networks view digital assets. 

They’re both elbowing their way into the decentralized party, not to crash it, but to bring the good snacks. The real winner here? It’s us, the end users, who get to skip the confusing code and enjoy faster payments.

Also the banks. But that’s another story.