Are Mastercard and VISA Cutting Out Unregulated Crypto Brokers and ICOs?
Are Mastercard and VISA about to deem crypto and ICOs ‘high risk’?
On October 12, Finance Magnates reported that payment giants Mastercard and VISA will both soon group cryptocurrency and Initial Coin Offering (ICO) jurisdictions in a new “high risk” category.
What are the consequences for those ‘high risk’ merchants?
According to the publication’s undisclosed sources, the ban will be applied to brokers who operate “from unregulated or loosely regulated environments,” and therefore have no license that would show that proper due diligence has been applied to their business. The action reportedly deals with forex, binary, cryptos, and ICOs.
More specifically, the alleged move seems to target non-EU countries “in the Balkans, former Soviet Republics, and the Far East,” as Finance Magnates argues, while “EU-regulated brokers are suffering due to significant changes to their operations, stemming from the new regulatory framework.” Apparently, the publication referred to the regulations