Mastercard has introduced a new artificial intelligence-powered payment feature designed to enable AI bots to make purchases autonomously, the company announced Thursday. The initiative, developed in partnership with the startup Alchemy, allows users to issue virtual credit cards to their AI agents with predefined limits on spending amounts and permitted product categories. These agents can then carry out transactions without seeking explicit approval from the cardholder each time.
The technology, referred to as agentic commerce, represents an emerging frontier in digital payments where AI bots could handle shopping on behalf of consumers by finding favorable prices and arranging deliveries. However, industry leaders caution that the new capability raises complex issues surrounding fraud prevention and consumer protection that have long been central to payment systems.
Mastercard’s chief product officer, Jorn Lambert, emphasized the inevitability of such developments, stating, “It’s not about if, it’s about when and how quickly,” while acknowledging the pace will be gradual. Through the partnership, customers who already use AI agents with Alchemy can link their Mastercard credit cards and configure specific rules for their agents—such as spending caps or restrictions on merchants. These AI agents can then complete purchases at any online merchant that accepts Mastercard.
Users retain control by setting parameters that require their agent to confirm transactions before proceeding, or allowing transactions to occur automatically within limits. This flexibility aims to strike a balance between convenience and risk management.
Earlier this year, Visa also formed a partnership with Alchemy, extending similar capabilities to cards on its network. Alongside Visa and American Express, Mastercard is developing frameworks and standards intended to support a broader ecosystem of AI-enabled payments for merchants, financial institutions, and consumers.
Yet, despite the growing support from major payment networks, uncertainty remains about how widely agentic payments will be adopted. Trust is a significant obstacle, as many consumers remain wary of giving AI systems unrestricted access to their credit information. Concerns persist about potential misuse, such as unauthorized purchases initiated by faulty or compromised agents.
Brendan Coughlin, president of Citizens Financial Group, described agentic payments as “a really good one but certainly not without its risks,” reflecting reservations within the banking community. Legal and regulatory questions also persist, including who would be accountable for erroneous or fraudulent transactions made autonomously by AI.
Mastercard noted its solution incorporates “agentic tokens,” designed to securely communicate a user’s authorized intent and purchase details to issuing banks, which must support this system to participate.
While the pace of adoption remains uncertain, payment networks are actively preparing for a future in which AI-driven commerce becomes a regular part of consumer transactions.