Mastercard and Visa Lead Institutional Push Into Stablecoins and Crypto

Mastercard nears $2 billion acquisition of Zerohash as Visa advances stablecoin payments and BlackRock-backed Securitize targets $1.25 billion IPO amid growing institutional adoption of tokenized assets and stablecoins.

  • Mastercard is close to acquiring the stablecoin platform Zerohash for nearly $2 billion.
  • VISA supports stablecoin payments on four blockchains and has facilitated $140 billion in stablecoin flows since 2020.
  • BlackRock-backed tokenization firm Securitize is going public via a $1.25 billion SPAC deal.
  • Stablecoins are gaining traction as a key element in payments and institutional crypto adoption.
  • Real-world asset (RWA) tokenization is projected to become a $10 trillion sector according to Blackrock’s CEO.

Mastercard is reportedly in advanced discussions to acquire the stablecoin infrastructure provider Zerohash in a deal valued near $2 billion. This move highlights a growing interest among payment processors to integrate stablecoins and on-chain payment systems into their services. The acquisition, though not yet finalized, reflects how traditional finance is embracing blockchain-based payment technologies.

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The stablecoin sector has an adjusted annual transaction volume estimated at approximately $9 trillion, accounting for potentially inflated activity due to bots and other factors. This volume underscores the appeal for firms like Mastercard to expand into the stablecoin payments market, despite challenges from competition and regulatory pressures.

Visa is also advancing its stablecoin capabilities by supporting four distinct stablecoins across four blockchains, with the ability to convert payments into 25 fiat currencies. Since 2020, Visa has processed $140 billion in stablecoin transactions. CEO Ryan McInerney emphasized the company’s commitment to these services. Visa’s platform already accommodates stablecoins such as USDC, Euro Coin (EURC), and Paypal USD (PYUSD) on various blockchains, and plans include enabling banks to mint and burn stablecoins directly on Visa’s tokenized asset platform.

Furthermore, Wall Street continues its move into crypto asset tokenization. Blackrock, which manages over $100 billion in assets through its leading spot Bitcoin ETF, is involved in the tokenization space through Securitize. This Blackrock-backed firm plans to go public via a $1.25 billion SPAC deal combined with an affiliate of Cantor Fitzgerald, a long-time service provider for Tether’s USDT token.

Securitize operates in the real-world asset (RWA) tokenization sector, which allows traditional assets to be represented as blockchain tokens. Blackrock CEO Larry Fink predicts this sector could reach $10 trillion in size. This listing demonstrates increased institutional focus on integrating tokenized assets into mainstream financial markets.

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These developments illustrate that despite ongoing concerns like Cybersecurity breaches and regulatory discussions, institutional adoption of stablecoins and tokenized assets is expanding rapidly. Investors and industry participants should closely watch these trends as they shape the future of payments and asset management.

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