Digital payments company Payoneer is partnering with Mastercard to bring a digital debit card to small businesses.
With the Payoneer Digital Purchasing Mastercard, customers of the company can shop worldwide, connect to mobile wallets and digitally access multiple cards to optimize business costs, e.g. B. Advertising services from Google, Facebook and Amazon.
“Small businesses can choose how to pay and get paid, and have instant access to the funds they earn. This is critical as the demand for digital payments continues to grow,” said Sherri Haymond, executive vice president, digital partnerships, Mastercard , across from CNBC.
The Payoneer-Mastercard deal comes amid an unprecedented surge in demand for contactless and digital payment solutions during the Covid-19 pandemic, which has benefited tech giants like Apple, as well as fintech companies like Square and PayPal.
There are more than 5 million users on the Payoneer platform, and the company works with more than 150 different currencies and specializes in cross-border payments. Airbnb, Amazon, Google and the freelance job platform Upwork are among their corporate customers as well as millions of independent contractors and small businesses.
Listed on both the 2017 and 2018 CNBC Disruptor 50 lists, Payoneer was founded in 2005 by Yuval Tal, an Israeli entrepreneur who has founded other tech and e-commerce payment companies. Scott Galit joined Mastercard as CEO in 2010 after more than two years.
In July of last year, JPMorgan Chase partnered with Bay Area start-up Marqeta to bring exclusively digital credit cards to the market. Marqeta, 33 on CNBC Disruptor 50 last year, makes the technology available to companies like DoorDash and Instacart, whose Gig Economy employees use these “virtual” cards in the delivery process. Square uses Marqeta for a virtual and physical debit card launched through Square Cash.
Payoneer’s new digital debit card is currently only issued for US dollar transactions and is limited in volume. A broader rollout is planned for the second half of 2021.
Last month, New York City-based Payoneer announced plans to go public by partnering with Bancorp founder Betsy Cohen’s SPAC, FTAC Olympus Acquisition Corp. This transaction is expected to close in the first half of 2021 and values Payoneer at $ 3.3 billion.
SoFi, another fintech company that ranked 8th on CNBC Disruptor 50 last year, recently announced a deal that will go public through a reverse merger with Chamath Palihapitiyas SPAC, Social Capital Hedosophia Corp V should.