Mastercard and Circle Redefine Global Payments with Real-Time Stablecoin Settlement

Mastercard has extended its collaboration with Circle, enabling acquiring institutions in the Eastern Europe, Middle East, and Africa (EEMEA) region to settle transactions using Circle’s USDC and EURC stablecoins. This marks the first time the EEMEA region’s acquiring ecosystem can leverage stablecoins for settlement, signaling a significant step in integrating blockchain-native assets with traditional financial systems. Arab Financial Services (AFS) and Eazy Financial Services are the first institutions to adopt this new capability, which is expected to enhance liquidity and reduce settlement friction for high-volume transactions [1].

The initiative allows acquirers to receive funds in USDC or EURC—regulated, fully reserved stablecoins issued by Circle—and use them to settle with merchants. This development builds upon existing partnerships between the two companies, including efforts with crypto card solutions such as Bybit and S1LKPAY, which already utilize USDC for transaction settlements. Mastercard’s strategic focus is on bringing stablecoins into the mainstream by investing in infrastructure and governance that align with the transition from fiat to tokenized and programmable money [2].

According to Dimitrios Dosis, Mastercard’s president for the EEMEA region, the company is leveraging its extensive experience in security and compliance to scale trust in the stablecoin space. “Trust is essential to scale, and we are proud to play a leading role by applying our decades of experience in security and compliance to the stablecoin space,” he stated. Meanwhile, Kash Razzaghi, Circle’s chief business officer, emphasized that the partnership aims to make USDC as ubiquitous as traditional payment methods, enabling “truly borderless, real-time commerce” [3].

The initiative is expected to bring significant efficiencies, particularly in cross-border transactions and remittances. The World Bank reported that the global average cost of sending $200 in Q2 2024 remained close to 8%, nearly double the UN’s Sustainable Development Goals target of 3%. Digital remittances, at 5%, are already more cost-effective than traditional methods, and the integration of stablecoins could further reduce costs while accelerating transaction speeds from days to near real-time [4].

Mastercard’s infrastructure, including the Multi-Token Network (MTN), Crypto Credential, and Crypto Secure, ensures that stablecoin transactions meet high standards of security and compliance. These tools are foundational to Mastercard’s broader strategy to expand regulated stablecoin use cases across remittances, B2B transactions, and gig worker payouts. Alongside USDC, Mastercard supports other regulated stablecoins such as Paxos’ USDG, Fiserv’s FIUSD, and PayPal’s PYUSD, demonstrating its commitment to fostering a diverse and compliant stablecoin ecosystem [5].

The collaboration aligns with growing demand for digital settlement solutions in emerging markets, where stablecoins are increasingly seen as tools to mitigate currency volatility and enhance financial inclusion. As of June 2025, the total market cap of stablecoins reached $166 billion, with Circle’s USDC holding a 28% market share, up 595 basis points year over year. This expansion of USDC and EURC settlement in the EEMEA region reflects a broader shift toward tokenized finance and underscores the potential for stablecoins to reshape everyday financial activity on a global scale [6].

Source: [1] Mastercard Expands Partnership with Circle to Transform Digital Settlement for Merchants and Acquirers in Region (https://www.mastercard.com/news/eemea/en/newsroom/press-releases/en/2025-1/august/mastercard-expands-partnership-with-circle-to-transform-digital-settlement-for-merchants-and-acquirers-in-region/) [2] Mastercard and Circle Enable Stablecoin Settlement in ... (https://www.pymnts.com/cryptocurrency/2025/mastercard-circle-enable-stablecoin-settlement-eemea-region/) [3] Mastercard Expands Crypto Reach with Circle in EEMEA (https://coinlaw.io/mastercard-circle-usdc-settlement-eemea/) [4] Mastercard and Circle to Enable Stablecoin Settlement in ... (https://www.ecofinagency.com/news-finances/2708-48201-mastercard-and-circle-to-enable-stablecoin-settlement-in-more-regions-including-africa) [5] Mastercard and Circle to boost digital settlement (https://thepaypers.com/crypto-web3-and-cbdc/news/mastercard-and-circle-to-transform-digital-settlement-for-acquirers-in-eemea) [6] Mastercard and Circle Enable Stablecoin Settlement in ... (https://www.pymnts.com/cryptocurrency/2025/mastercard-circle-enable-stablecoin-settlement-eemea-region/)