Mastercard, the second-largest payment-processing corporation worldwide, has revealed its new plan to launch a test version of the Multi-Token Network (MTN), inviting developers to leverage the company’s permissioned blockchain infrastructure, seeking to revolutionize payment capabilities.
Mastercard has been dabbling with the burgeoning blockchain technology and crypto for quite some time, now. Recently, the financial services giant teamed up with ByBit, a crypto exchange, to announce the launch of a new debit card allowing users to make payments and withdraw cash using cryptocurrency holdings.
Earlier this year, Mastercard entered into a collaboration with Immersve, a Web3 payment protocol, allowing its users to make crypto payments both across the digital and Metaverse worlds. Furthermore, in April, the company also announced that it would offer free music pass non-fungible tokens (NFT) to help Web3 musicians access a number of resources to boost their careers.
Elevating the next generation of music: #priceless.
— Mastercard (@Mastercard) April 12, 2023
Mastercard’s Brand New Offering
In the latest development, Mastercard is further delving deeper into the blockchain space with the introduction of its ambitious plan to launch a test version of the Multi-Token Network (MTN) this summer. The brand new offering which is slated to be released in the United Kingdom as beta will act as a testbed for developing live pilot applications and use cases with financial institutions, fintechs and central banks.
Digital asset and blockchain technologies will one day become critical infrastructure for storing and moving value. The Mastercard Multi-Token Network will make transactions within this ecosystem secure, scalable and interoperable. https://t.co/Vb1JtnSTjx#digital #blockchain… pic.twitter.com/YlH8rHgQQI
— Mastercard News (@MastercardNews) June 28, 2023
As per a report, the financial giant plans to roll out MTN to more global markets, pending additional partners that will serve as an experimental sandbox to Mastercard’s permissioned blockchain, constructed on Ethereum (ETH). This unique infrastructure is designed to encourage developers to design applications that take advantage of the secure, scalable, and flexible nature of blockchain technology. According to the company, the first phase of the applications will be powered by tokenized bank deposits.
It seems Mastercard has promoted invites to what it’s calling the “MTN Innovation Sprint”. Teams will be selected to receive access to MTN’s capabilities and begin developing on the platform. In addition, Mastercard also plans to use its proprietary Mastercard Crypto Credential tool in the new Multi-Token Network to verify transactions and reduce the risk of unintended transfers. In an official blog post, Raj Dhamodharan, Mastercard’s head of crypto and blockchain products wrote,
“Today, we are taking the next step on our journey with the introduction of Mastercard Multi-Token Network, a tailor-made solution for the industry. Our vision for MTN is to provide a set of foundational capabilities designed to make transactions within the digital asset and blockchain ecosystems secure, scalable and interoperable — ultimately enabling more efficient payment and commerce applications.”
Crypto, Web3 Products Surge Despite Regulatory Woes
Despite the heavy crackdown on crypto focused companies and tightening regulatory policies, multi-billion dollar companies are ramping up efforts in the Web3 and digital assets space. After BlackRock submitted an application for a Bitcoin spot ETF, earlier this month, a host of other asset managers followed suit, including WisdomTree and Invesco.
Over the past few years, several global conglomerates have doubled down on NFTs. Moreover, technology juggernauts around the world are also putting in fervent efforts to build the Metaverse, revolutionizing the way individuals and businesses use the internet. It seems that the urge to build a decentralized world is getting stronger, with each passing day.