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Zerohash Gains MiCA License as Mastercard Considers Acquisition

Stablecoin infrastructure provider Zerohash has obtained a
license under the European Union’s Markets in Crypto-Assets Regulation. The
license allows the company to offer stablecoin services across the EU. Zerohash
is among the first infrastructure providers to receive such authorization.

Digital
assets meet tradfi in London at the fmls25

Mastercard is reportedly in advanced discussions to acquire
Zerohash for between $1.5 billion and $2 billion, according to sources cited by
Fortune. If the deal proceeds, it would represent a move into the stablecoin
sector. Both companies declined to comment.

Zerohash Secures EU License

Zerohash provides blockchain infrastructure and stablecoin
services to financial firms. The
startup recently raised over $104 million, valuing it above $1 billion. It
partners with organizations including Morgan Stanley and Interactive Brokers.

Zerohash Europe said it secured a license from the Dutch
Authority for the Financial Markets. This approval allows the company to offer
stablecoin and crypto services to banks, fintech firms, and payment platforms
across the 30 European Economic Area countries.

Stablecoin Payments Expand Across Mastercard Network

Separately, Mastercard
and MoonPay have launched a partnership to support stablecoin payments
across Mastercard’s network. Financial firms and fintechs can issue cards
linked to users’ stablecoin wallets, allowing real-time spending.

Stablecoins
convert automatically to local currency at over 150 million Mastercard
locations.

The system supports international payments, gig worker
disbursements, and underbanked users. Mastercard is
also testing tokenization and biometric authentication to improve security
during online payments.

Smaller Firms Face Challenges Under MiCA

The MiCA regulation imposes compliance requirements on
service providers, issuers, and exchanges across the EEA. Well-capitalized
firms are adapting, while
smaller players face challenges.

MiCA has affected stablecoins, with compliant issuers like
Circle gaining share as non-compliant tokens are delisted. Experts say the
rules may drive market consolidation, favor prepared firms, and increase sector
stability, influencing investment flows, operations, and competition across
Europe.

This article was written by Tareq Sikder at www.financemagnates.com.
Credit: Source link

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