Mastercard chooses Polygon to kill wallet addresses — but POL keeps bleeding

Key Takeaways

What has Mastercard chosen Polygon for?

Mastercard tapped Polygon to energy verified usernames for self-custody wallets by means of its Crypto Credential system.

What’s POL’s worth outlook regardless of the partnership?

POL stays underneath bearish stress and will drop to $0.13 except new demand lifts it again towards $0.16.

With institutional acceptance of crypto and Net 3 on the rise, Mastercard has joined the bandwagon, increasing its crypto credential to self-custody wallets. 

A month in the past, Mastercard introduced the creation of a self-custody Web3 card that enables worldwide customers to retain custody, in collaboration with Polygon Labs and Mercuryo. 

Mastercard strikes to self-custody wallets

Based on official reports, Mastercard has picked Polygon [POL] to energy its system that enables customers to ship crypto to verified usernames. 

Thus, customers will use usernames as an alternative of generally used lengthy pockets addresses.  

Mercuryo would be the preliminary issuer, onboarding verified customers, and permitting for the creation of Mastercard Crypto Credential aliases. 

Based on Polygon, with Mastercard Crypto Credentials, customers can onboard as soon as, obtain a verified username, hyperlink a pockets, and entry their property. 

The introduction of this function goals to scale back switch errors and make crypto instruments and their utilization simpler for all customers.

Will this increase Polygon’s utilization?

These developments have arisen on the proper time, as Polygon’s community exercise has been recovering from a current decline.

The chain’s Lively Addresses have bounced again, reclaiming the 1 million mark, to 1.19 million as of this writing. On the identical time, Transactions additionally reclaimed 5 million, hitting a excessive of 5.39 at press time.

Supply: Defillama

With the partnership with Mastercard, the chain’s community exercise is predicted to rise even additional. It is because Polygon’s integration into Mastercard’s stack exposes the chain to hundreds of thousands of potential customers.

Subsequently, we may see the chain file extra transactions backed by an elevated variety of lively addresses.

What about POL?

Surprisingly, the current announcement has but to have a optimistic influence on POL’s worth motion. The truth is, at press time, POL traded at $0.145, down 3.24% on each day charts.

Amid this decline, the token has held beneath its Transferring Averages (MA) because it made a dying cross three weeks in the past, reflecting intense bearish stress.

Supply: TradingView

Coupled with that, the optimistic index of Directional Motion Index (DMI) has declined persistently, hitting a low of 9 at press time.

These market situations counsel complete bear dominance, positioning POL for additional losses. If the development continues, the token will drop to $0.13.

Nevertheless, if Mastercard brings contemporary demand, it’s going to increase POL as much as reclaim $0.16.