Mastercard (ticker: MA) recently announced that it plans to partner with Bakkt (ticker: BKKT) to give customers access to digital assets. Their partners will also be able to issue branded crypto credit and debit cards, as well as participate in loyalty programs that offer cryptocurrencies as rewards. Even vendors and restaurants will soon be able to offer Bitcoin rewards instead of points. Meanwhile, existing points can be converted to cryptocurrency at rates set by participating companies.
According to the company's second quarter results, as of June 30, there were 2.9 billion cards in circulation under the Mastercard and Maestro brands.
Nancy Gordon, Executive Vice President of Rewards and Loyalty Payments for Bakkt, said: "We are incredibly excited to partner with MasterCard to bring crypto loyalty services to millions of consumers. As brands and merchants look to appeal to younger consumers and their transaction preferences, these new offerings represent a unique opportunity to satisfy increasing demand for crypto, payment and rewards flexibility."
Following the announcement, Bakkt shares surged 169% to $ 25.64, while Mastercard rose 0.9%.
The announcement also came just days after the Securities and Exchange Commission (SEC) approved the first US Bitcoin ETF, which pushed the cryptocurrency up to $ 66,974. On Monday, it traded at $ 63,003.48.
