Reportedly, Mastercard Inc. and Visa Inc. (V) have distanced themselves from their card partnerships with Binance Holdings, the cryptocurrency platform facing regulatory challenges globally.
Binance has faced significant scrutiny from financial regulators worldwide, and the pressure has increased as authorities tighten regulations on the cryptocurrency industry due to various incidents and controversies over the past year. The company, along with its CEO Changpeng “CZ” Zhao, has been sued by the US Securities and Exchange Commission for violating securities regulations and by the Commodity Futures Trading Commission for disregarding rules that allowed US users to access the exchange. Binance has contested these allegations.
The actions taken by Visa and Mastercard mark another setback for Binance’s aspirations to establish a presence in the mainstream market. These moves coincide with Binance finding itself progressively isolated from the conventional financial system.
Visa Inc. (NYSE: V) is the world’s leader in digital payments. Its mission is to connect the world through the most innovative, reliable, and secure payment network – enabling individuals, businesses, and economies to thrive. Their advanced global processing network, VisaNet, provides secure and reliable payments around the world and is capable of handling more than 65,000 transaction messages a second. The company’s relentless focus on innovation is a catalyst for the rapid growth of connected commerce on any device, and a driving force behind the dream of a cashless future for everyone, everywhere. As the world moves from analog to digital, Visa is applying its brand, products, people, network, and scale to reshape the future of commerce. To learn more about Visa (V) and to track its ongoing progress please visit the Vista Partners Visa (V) Coverage Page.)
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