Key Takeaways
- Mastercard's new product ensures that crypto-related transactions are secure and bereft of fraud.
- The financial services provider Mastercard, on the 3rd of October, floated a new crypto tool which would serve as a risk management and indicator tool for users.
Mastercard's new product ensures that crypto-related transactions are secure and bereft of fraud. The financial services provider Mastercard, on the 3rd of October, floated a new crypto tool which would serve as a risk management and indicator tool for users. This tool will ensure that traders are aware of risk-related and fraudulent crypto transactions.
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Mastercard's new tool, known as Crypto Secure, is targeted at providing fraud-prevention and risk-indicator services. This tool will bring to users' notice the risks and fraud that are prevalent on crypto merchant platforms. Crypto Secure merges several means to keep users aware of pending risks and fraudulent practices. It uses artificial intelligence, blockchain data, and public records of crypto transactions, amongst many other means, to assess and reveal crime-affiliated risks of crypto exchanges rooted in the Mastercard network.
The importance of having a safe and fraud-bereft crypto platform for transactions can not be overestimated. One of the perks of using Crypto Secure is that issuers will see color-coded risk ratings of crypto merchants. These color-coded risk ratings are indicative of the fraudulent activity attached to a particular merchant.
CipherTrace controls Crypto Secure. CipherTrace is based in California; it is a startup for blockchain security adopted by Mastercard last year. Interestingly, the tool does not make decisions for banks. What it does is provide a layer of advisory on crypto transactions. According to stats, 2,400 crypto exchanges exist within Mastercard's network.
The rate of crypto scams has spiked in the last couple of years, and the need to provide a check and guide for merchants is an irresistible priority. According to Chainalysis data, 2021 marked a new all-time high in crypto crime with fraudulent wallet addresses receiving $14 billion.Let us know what you think about this in the comment section below.
