Mastercard backs stablecoins post-GENIUS Act, but not as decentralized money

Mastercard Publicy kissed the stablecoins after the adoption of the genius law, but is seen at the heart of the system.

The Genius Act already has a tangible impact on the discourse around the stablescoins. After his visit, the Mastercard payments giant publicly Embraced the stablecoinsindicating that the legislation has erased a major obstacle to expansion. However, Mastercard’s vision is not decentralized money.

“The stablecoins are at a turning point. The adoption of the engineering law by the US Congress signals a new era of regulatory clarity and confidence in digital assets,” said Jesse Mcwaters, executive vice-president of Mastercard.

Stablecoins already find uses of the real world, according to McWaters, especially in cross -border payments. Whether it is its payments or its sending of international funds, the stablecoins offer a low cost and a rapid alternative to traditional banking transfers and other payment methods.

Mastercard offer to dominate stablescoins

However, McWaters believes that stablecoins are missing a key factor, which is an intermediary, like the one that Mastercard is. Calling Mastercard “One of the most reliable payment networks in the world”, Mastercard hopes to become a key centralized intermediary in a Stablecoin ecosystem.

“But to switch from the dominant awareness, stablecoins need more than speed and programmability. They must be integrated into systems that people trust – systems that protect users, resolve disputes and work perfectly between borders and platforms,” said McWaters. “This is where Mastercard comes into play,” he added.

The payment giant has already launched several initiatives focused on stablescoin. These include Multi-Token Network Mastercard and Mastercard Crypto Credential, which add conformity and user protection features.

Mastercard’s vision is a distance from systems without confidence of peers. Instead, the company applies the approach that already works for credit card payments. However, the business model inherited from the company is not without criticism. In particular, the credit card company has been faced with many legal challenges unfair treatment Credit merchants and users.