Mastercard believes that crypto and blockchain technology may add significantly more value to financial industries once the major challenges of security and simplicity are addressed, according to Tech Crunch, citing the company’s EVP and head of Bitcoin and Blockchain Raj Dhamodharan.
‘A lot of promise’
According to Dhamodharan, crypto, and blockchain technology are gaining acceptance around the world; however, their use cases are still limited due to a lack of complete security and difficult user interfaces.
Dhamodharan believes that if these concerns are resolved, brands and businesses would be a lot more confident in working with the web3 industry. He went on to say that while most people see cryptocurrency as an investment opportunity, the “technology itself holds a lot of promise” beyond simply being a decent means to transport and store cash. During the discussion, Johan Berger, Mastercard’s EVP of security and cyber innovation, stated, “What you need for this tech to scale globally is interoperability and underlying security of trust.”
Mastercard’s steady push into crypto
Mastercard was among the first regular banking companies to enter the crypto market. Over the years, the company has steadily grown its portfolio of crypto services by collaborating with various industry giants including Binance, Gemini, and Paxos. Many exchangers provide Mastercard-powered debit and credit cards.
In addition, the company is extensively involved in assisting governments in determining central bank digital currencies and the underlying payment infrastructure.
Dhamodharan joined Mastercard in 2010 and was promoted to head of the cryptocurrency branch in 2019. In recent years, he has led the company’s aggressive push into cryptocurrency, viewing the business as an opportunity rather than a threat to its supremacy in the payments market. “We don’t think of it that way [as a threat].” I return to the maturity cycles of several crypto technologies. Crypto as an investing asset class may be the most mature.” Dhamodharan also stated at the time that Mastercard entered the cryptocurrency market because its customers wanted to buy Bitcoin and other cryptocurrencies. He went on to say that Mastercard’s intention is to create a safe environment for its consumers to experiment with cryptocurrency.