Mastercard has announced the launch of ‘Crypto Secure’, a tool designed to aid banks in identifying and blocking transactions from crypto exchanges that are prone to fraud.
‘Crypto Secure’ is powered by CypherTrace, a cryptocurrency intelligence and blockchain analytics firm that Mastercard acquired in early September to enhance and differentiate its card and real-time payments infrastructure.
According to a CNBC report, “the system uses sophisticated artificial intelligence algorithms to determine the risk of crime associated with crypto exchanges on the Mastercard payment network.”
Through its dashboard, the platform provides users with risk information using color-coded ratings, denoting high-risk transactions with red and low-risk with green to give card issuers the choice to approve or reject the crypto merchant in question.
The move, according to Ajay Bhalla, president of Cyber and Intelligence Business at Mastercard, is intended to help its partners remain compliant with the complicated regulatory landscape.
Bhalla noted: “The whole digital asset market is now a pretty large, substantial market. The idea is that the kind of trust we provide for digital commerce transactions, we want to be able to provide the same kind of trust to digital asset transactions for consumers, banks, and merchants.”
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