payment processing platform MasterCard announced a web3-based version Throttle Program for musical artists. Starting in Spring 2023, the program will prepare emerging musicians, DJs and producers to build their brand through web3 experiences, including creating NFTs, participating in a virtual community and performing live in the metaverse. The space will also allow fans to participate through the Mastercard Music Pass, an NFT that provides access to web3 Music resources and educational material.

Record labels have been embracing web3, forging multiple partnerships involving NFTs. Universal Music created a music group consisting of four NFTs that are Bored Monkey Yacht Club characters. In August 2022, Eminem and Snoop Dogg performed as Bore Ape NFT characters in the Otherside metaverse at the MTV Awards. Most recently, in December 2022, music group warner recognized the importance of building communities for artists in different mediums. He partnered with Polygon and LGND.io to launch a platform that sells songs as NFTs.

Mastercard’s Accelerator program, announced at the Consumer Electronics Show (CES), also takes advantage of the Polygon blockchain, and follows Mastercard’s historic support of the music industry, having sponsored the GRAMMY Awards and the BRIT Awards.

The ultimate goal of the company is to allow people to pay for NFTs with Mastercard without buying cryptocurrency. In February 2022, the company expanded its consulting practices to include cryptocurrencies and digital currencies. Along with the expansion of the service, the company also wants to increase its web3 user base. Last year, the company announced that it is working with seven major NFT platforms and enablers, including ImmutableX and the web3 metaverse the sandbox. The Accelerator program is another step in their broader strategy.

Visa is also following similar strategies to participate in the web3 space, having launched its crypto advisory practice in 2021. His Visa Maker Program announced in May 2022, it starts this year and extends to entrepreneurs working in art, music, fashion, and film, targeting those looking to expand their businesses through NFTs.

Both companies recognize the need to be active in the sector. Card payments currently have a 3% transaction fee and long settlement times that impact merchants. Cryptocurrency payments are perceived as a disruption in the payments technology space, as they are faster and have lower transaction fees for some blockchains. Accordingly, Mastercard is working to give its users the option to accept and pay cryptocurrency through multiple partnerships with companies like Wirex and Bitpay, as well as engagement with Central Bank Digital Currencies.