Borderless.xyz, Mastercard to test cross-border stablecoin payment flows

Borderless.xyz, a stablecoin orchestration and liquidity network, has partnered with Mastercard on a pilot focused on cross-border stablecoin payments.

As part of the initiative, the companies will assess how Mastercard Crypto Credential can support trusted interactions across stablecoin payment flows.

The pilot will examine how the product's standards-based framework can provide assurance signals, which participants can incorporate into their own approval, compliance and risk processes.

Mastercard Crypto Credential is intended to support verifiable interactions across digital asset ecosystems. The approach uses common standards and assurance signals to increase confidence and transparency for transactions across blockchain networks.

The pilot connects Mastercard's work on trust and standards in digital asset ecosystems with Borderless.xyz's network of stablecoin payment providers. The companies are exploring how governance signals can reduce friction in cross-border stablecoin payments as adoption increases.

Borderless.xyz CEO and co-founder Kevin Lehtiniitty said: "One of the biggest friction points for stablecoin payment operators isn't the payments. It's that compliance doesn't scale the same way the network does. Every new provider means starting the verification process over.

"Correspondent banking solved this decades ago: originating compliance trusted downstream, no re-execution at every counterparty. Mastercard is applying that model to digital asset payments. Borderless.xyz is the network it runs through."

Mastercard Blockchain & Digital Assets executive vice-president Raj Dhamodharan said: "Today, we're excited to take the next step together, exploring how Mastercard Crypto Credential can help bring greater trust and confidence to stablecoin payment flows across a growing network of participants."

Several members of Borderless.xyz's network are taking part in the pilot, including Infinia, Walapay and Koywe.

They will use Mastercard Crypto Credential as stablecoin payment operators running a single-audit compliance model at network scale.

Earlier this year, Mastercard selected Borderless.xyz as a launch partner in its Crypto Partner Program.

"Borderless.xyz, Mastercard to test cross-border stablecoin payment flows" was originally created and published by Electronic Payments International, a GlobalData owned brand.