Mastercard and cryptocurrency exchange Binance will end four crypto card programs in Argentina, Brazil, Colombia and Bahrain on Sept. 22, a Mastercard spokesperson said via email on Thursday.
Binance Card allows users to pay in traditional currencies, funded by cryptocurrencies they hold on the exchange.
Mastercard’s website also lists partnerships with cryptocurrency exchanges including Gemini. The spokesperson said the decision will not affect any of Mastercard’s other crypto card programs.
Binance faces legal and regulatory challenges. U.S. regulators sued the cryptocurrency exchange and its CEO, Changpeng Zhao, in June, accusing it of operating a “deception network.” Binance said it would defend itself “vigorously”.
Mastercard’s head of cryptocurrency and blockchain, Raj Dhamodharan, told Reuters in April that the company was seeking more partnerships with cryptocurrency firms. He declined to comment on Binance specifically, but said any card schemes are “undergoing thorough due diligence” and are constantly monitored.
A Mastercard spokesperson declined to comment on why Binance’s planned termination was made or who made the comment.
Binance did not immediately respond to an emailed request for comment. A customer support account on the exchange X (formerly known as Twitter) said earlier Thursday that the Binance Card “will no longer be available to users in Latin America and the Middle East.”
© Thomson Reuters 2023
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