Mastercard has launched a new initiative focused on digital assets and blockchains.
The new Multi-Token Network (MTN) is focused on projects on these technologies, Mastercard Executive Vice President of Blockchain and Digital Asset Products and Digital Partnerships Raj Dhamodharan said in a Wednesday (June 28) blog post.
“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,” Dhamodharan said in the post.
The network will focus on developing effective identity management and permissions with solutions like Mastercard Crypto Credential, enabling regulated payment tokens to power financial applications, allowing interoperability among blockchain networks, and providing consumer protections, stability and regulatory compliance, according to the post.
Mastercard will launch the beta version of MTN in the United Kingdom this summer and pilot applications developed with financial institutions, FinTechs and central banks, beginning with applications powered by tokenized bank deposits, the post said. It will later be expanded to additional markets.
“MTN represents one of Mastercard’s most ambitious projects in the digital asset space to date,” Dhamodharan said in the post. “It is a natural evolution that demonstrates Mastercard’s commitment to offering a wider range of payment solutions that are safe, easy to access and always on. Our goal is to support the wider digital asset industry and interested parties to help fortify confidence in its future.”
Mastercard launched its Mastercard Crypto Credential in April. The solution is meant to ensure that financial institutions, governments, brands and crypto organizations are meeting defined standards for the types of activities they would like to pursue in Web3 environments.
In October, Mastercard moved into the business of providing the back-end tools and support to let financial institutions offer retail customers white-label cryptocurrency trading and custody services.
The company found that 60% of consumers were interested in seeing their bank offer crypto services, Dhamodharan told PYMNTS’ Karen Webster in an interview at the time.
“Crypto is entering a maturity cycle where more and more consumers are interested in investing in it as an asset class,” Dhamodharan said.
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