Mastercard Drops Zerohash Acquisition, Weighs Strategic Investment Instead
Why the Acquisition Talks Collapsed
Mastercard is assessing a strategic investment in blockchain infrastructure firm Zerohash later than earlier plans for a full acquisition broke down, according to people familiar with the discussions. The payments group had explored purchaseing the crypto infrastructure provider last year, but those talks ended when Zerohash decided to remain independent.
Fortune reported in October that Mastercard had entered late-stage negotiations to acquire Zerohash, with the transaction valued at up to $2 billion. Zerohash provides custody, settlement, and fiat on- and off-ramp services that allow fintech firms and brokerages to offer digital assets without building their own crypto infrastructure.
According to multiple sources, formal acquisition discussions have now concluded. However, conversations around a potential minority investment are ongoing, indicating that Mastercard still views strategic value in the relationship even without full ownership.
Investor Takeaway
How Zerohash Views Independence
Zerohash publicly confirmed that it is not pursuing a sale to Mastercard. In emailed comments, a company spokesperson said independence remains central to its growth strategy and operational model.
“We are not entertaining an acquisition by Mastercard. We respect the Mastercard team and look forward to scaling commercial partnerships,” the spokesperson said. “Our team is central to our velocity, and we believe that remaining independent best positions Zerohash to continue innovating, building and delivering for our customers.”
The statement reflects a broader trend among that have reached scale and regulatory maturity. Rather than viewking exits through takeovers, some providers now prefer partnerships that preserve autonomy while expanding distribution through established financial networks.
Infrastructure Firms Emerge as Prime Deal Targets
The talks between Mastercard and Zerohash come as merger and acquisition activity picks up across the digital assets sector. Unlike earlier cycles dominated by speculative protocols, recent deal interest has centered on revenue-generating infrastructure businesses with and regulatory footing.
Meanwhile, crypto data platform CoinGecko was exploring a potential sale at a valuation of around $500 million. Market participants say the most sought-later than assets now include licensed platforms, custody and settlement providers, staking platforms serving institutions, and compliance or data firms with high margins.
Zerohash fits squarely within that profile. Founded in 2017, the firm offers APIs and embedded developer tools that allow financial institutions and fintech companies to integrate crypto, stablecoin, and tokenization services into their products. Its infrastructure supports clients including Interactive Brokers, Stripe, , Franklin Templeton, and DraftKings, reaching more than 5 million users across 190 countries.
Investor Takeaway
How Mastercard Fits Into the Broader Crypto M&A Picture
Mastercard has been linked to several potential digital-asset transactions as it deepens its exposure to blockchain-based payments and settlement. The company has previously been associated with discussions around other infrastructure-focused fintechs, including BVNK, a London-based stablecoin payments firm, according to earlier Fortune reporting.
Zerohash last raised capital in October, securing $104 million in a Series D-2 round led by Interactive Brokers that valued the company at $1 billion. The round included participation from Morgan Stanley, Apollo-managed funds, SoFi, Jump Crypto, Northwestern Mutual Future Ventures, FTMO, IMC, and Liberty City Ventures, alongside existing investors.
For Mastercard, a strategic investment would allow continued exposure to without the integration risks of a full acquisition. For Zerohash, retaining independence while expanding commercial partnerships may offer a way to scale alongside traditional finance without ceding control.
As large payment networks and banks reassess their digital-asset strategies, the outcome of these discussions may serve as a reference point for how far incumbents are willing to go — and how much control mature crypto infrastructure firms are prepared to give up.
