• Mastercard is partnering with seven blockchain and payment technology providers to explore the potential and challenges of central bank digital currencies (CBDCs).
• The collaboration will focus on security, privacy, interoperability, and innovation.
• Companies involved in the partnership include Ripple, ConsenSys, Fluency, Giesecke+Devrient, Idemia, Consult Hyperion, and Fireblocks.
Mastercard Partners with Blockchain Leaders
Mastercard has partnered with seven blockchain and payment technology providers to explore the potential of Central Bank Digital Currencies (CBDCs). This collaboration aims to look into issues related to security, privacy, interoperability, and innovation.
Partners Involved in Collaboration
The companies involved in this partnership are Ripple, ConsenSys, Fluency Giesecke+Devrient Idemia Consult Hyperion and Fireblocks. These companies have already been playing an important role in CBDC development.
Goals for the Partnership
Raj Dhamodharan from Mastercard’s head of digital assets and blockchain highlighted the importance of these aspects. He stated that “We believe in payment choice and that interoperability across the different ways of making payments is an essential component of a flourishing economy.“ The goal is that any value held as a CBDC should be as easy to use as other forms of money.
Relationship Between CBDCs & Cryptocurrencies
Though not cryptocurrencies themselves CBDCs are related to them since they could utilize blockchain technology which is also used by cryptocurrencies such as Bitcoin. Essentially a CBDC would be a government endorsed digital version of a fiat currency like the US dollar
This collaboration between Mastercard and seven other leading blockchain companies will help them research new digital currencies projects while focusing on transparency consumer privacy stability interoperability security privacy and innovation.