Payment processing giant Mastercard is looking to dive deeper into the cryptocurrency industry. With this in mind, the company plans to expand its advisory services with new practices focused on open banking, open data, crypto and digital currencies, as well as environmental, social and governance (ESG). ).
Navigating the Adoption of Digital Currencies
According to the official press release, Mastercard stated that it aims to help financial institutions navigate the adoption of cryptocurrencies with its consulting efforts by enabling banks and merchants to cover many digital currency capabilities.
This will include initial training, risk assessments, development of bank-wide crypto and NFT strategies for digital asset cards, and design of crypto loyalty programs. Data & Services, which happens to be a talent incubator for the entire company, is looking to add more than 500 college graduates and young professionals as part of ambitious growth plans.
So far, Mastercard has curated partnerships with crypto-focused firms and has helped the expansion of financial tech companies into new markets. One of the main focuses of the payment company is to help central banks use its testing platform for design exploration as well as deployment of a central bank digital currency (CBDC).
The platform could allow central banks to analyze various frameworks before deployment and leverage Mastercard’s expertise in payment systems, policy and regulation, and governance.
Bringing Crypto In Its Network
Mastercard has taken several steps towards integrating blockchain and cryptocurrency into its business structure. In 2021, the company announced that it will start supporting select digital assets directly on its network.
Without clarifying its stance on cryptocurrency, Mastercard said it was the “choice” of customers, merchants and businesses “to move digital, traditional or crypto value as they choose.”
Later that year, it announced support for credit and debit cards backed by cryptocurrencies in the APAC region, thereby enabling users to use their such assets in the same way as standard fiat money when paying for goods and services.
More recently, Mastercard partnered with cryptocurrency exchange Coinbase to simplify non-fungible token (NFT) purchases. The company has also partnered with leading Ethereum Software company, ConsenSys, to launch roll-ups for EVM blockchains.
