- Mastercard users can now buy Bitcoin, XRP, and Shiba Inu on Binance, marking a significant crypto-friendly move.
- Binance’s legal troubles, including a $4.3 billion settlement, led to Mastercard’s suspension of services last year.
Mastercard has resumed allowing its users to purchase various cryptocurrencies, such as Bitcoin, XRP, and Shiba Inu, on Binance. Last August, Mastercard, the second-largest payments network, halted its services with Binance due to the exchange’s legal issues.
The U.S. Securities and Exchange Commission (SEC) filed a lawsuit against Binance in June 2023, accusing it of operating as an unlicensed trading platform in the U.S. and violating U.S. securities laws.
Binance faced further legal challenges later in 2023 when it agreed to pay $4.3 billion to settle with the U.S. Department of Justice for permitting widespread money laundering on its platform. Subsequently, Changpeng Zhao, Binance’s CEO, stepped down and received a four-month prison sentence. Richard Teng, the new CEO, has stressed the importance of regulatory compliance to restore Binance’s reputation.
Mastercard’s decision to resume services with Binance came after evaluating the exchange’s enhanced controls. However, future transactions are subject to ongoing reviews by Mastercard.
Mastercard has expressed interest in cryptocurrencies and blockchain technology. In 2018, it ranked among the top companies in blockchain-related patents, alongside IBM and Alibaba.
In 2020, Mastercard began testing stablecoins for payments in collaboration with Circle. In 2022, it partnered with the cryptocurrency payment app MoonPay to enable customers to purchase non-fungible tokens.
The resumption of Mastercard services on Binance represents a step towards normalcy for the exchange, which has been addressing regulatory concerns. This development also indicates the increasing acceptance and integration of cryptocurrencies into mainstream financial systems.
