Mastercard and Kraken Partner to Enable Crypto Payments at Over 150 Million Merchants

In a major move set to expand the utility of cryptocurrencies in everyday life, Mastercard and crypto exchange Kraken have announced a strategic partnership to enable crypto payments at over 150 million merchants globally. The initiative marks a significant milestone in integrating decentralized finance into mainstream commerce, with a strong focus on accessibility for users across the UK and Europe.

Through this collaboration, Kraken users will be able to spend their digital assets—including Bitcoin, Ethereum, and others—at any merchant that accepts Mastercard. The move is designed to offer users a seamless way to use their crypto balances through physical and digital debit cards, linked directly to their Kraken accounts.

“This is a pivotal moment in the evolution of payments,” said David Ripley, Co-CEO of Kraken. “We’re working to ensure that crypto can be used not just for trading or holding, but as a real-world medium of exchange.”

Leveraging Kraken Pay and Mastercard infrastructure

The partnership builds upon Kraken Pay, a payment feature introduced by the exchange earlier this year. Kraken Pay allows users to send crypto and fiat globally with the ease of sending a text. In just three months, over 200,000 users have activated their personalized “Kraktag”—a unique payment identifier enabling instant cross-border transfers.

Now, with Mastercard’s infrastructure integrated into the mix, those same users will be able to take their on-chain assets into the physical world. Real-time conversion of crypto to fiat will occur at the point of sale, removing the friction that has long plagued crypto-based payments.

Scott Abrahams, Executive Vice President of Global Partnerships at Mastercard, commented: “We see digital assets as a fundamental part of the future of finance. This partnership brings us closer to that future by unlocking practical, secure use cases for millions of users.”

The move comes on the heels of Kraken receiving an Electronic Money Institution (EMI) license from the UK’s Financial Conduct Authority (FCA), allowing it to issue electronic money and offer more robust financial services in Europe.

Mainstream crypto adoption gets a global boost

The partnership between Kraken and Mastercard is expected to fuel mainstream adoption of cryptocurrencies, transforming them from speculative investments into functional tools for daily life. Users will be able to shop, pay bills, and even withdraw cash at ATMs, all using their crypto holdings.

Kraken’s leadership underscored the broader mission behind the collaboration: to close the gap between traditional and decentralized finance. “This is about more than payments,” Ripley said. “It’s about making crypto part of everyday economic activity.”

As regulatory clarity improves and infrastructure matures, this collaboration stands as a blueprint for how centralized institutions and crypto-native platforms can work together to bring digital assets into the financial mainstream.

The debit cards are expected to roll out to Kraken users in the UK and EU markets later this year, with potential global expansion to follow. As both companies continue to innovate, this partnership signals a future where spending crypto is as simple as swiping a card.