Mastercard to start working with digital assets, and Elon Musk criticizes custodian crypto wallets

Mastercard to start working with cryptocurrencies in 2021

Already in 2021, Mastercard plans to start working with cryptocurrencies. The specific coins have not yet been named. However, it is known that the system will only support stablecoins backed by real assets.

The company said in a statement that digital currencies must guarantee stability “so that people can use them for day-to-day transactions, not investments.” Clients of Mastercard already have the opportunity to make cryptocurrency transactions, but now the payment system will begin to independently process transfers.

“Our philosophy on cryptocurrencies is straightforward: It’s about choice. Mastercard isn’t here to recommend you start using cryptocurrencies. But we are here to enable customers, merchants and businesses to move digital value — traditional or crypto — however they want. It should be your choice, it’s your money, ” said Raj Dhamodharan. Executive Vice President, Digital Asset and Blockchain Products and Partnerships, Mastercard.

Elon Musk speaks out against custodial crypto wallets

Elon Musk believes that it is better for investors not to use the services of crypto wallets, which do not provide their clients with control over private keys. He wrote about this in a Twitter post from the custodian wallet operator FreeWallet, who used Musk’s post on Dogecoin to advertise himself.

“Your app sucks,” wrote the head of Tesla.

It turned out that the entrepreneur uses FreeWallet, and his account was automatically blocked by a security algorithm. Musk’s account was then unblocked, but the developers of Ledger hardware wallets joined the discussion, taking the opportunity to advertise their decision.

“Elon Musk is right, as long as you do not manage your private keys, you do not actually own your cryptocurrency,” wrote the representatives of Ledger.

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