Preface
After writing "Visa's Blockchain Revolution: How the Payment Giant Shapes the Future of Finance" last time, many people responded that MasterCard actually has quite a few strategic layouts in the blockchain area.
As the world's two largest international card brands, Visa and MasterCard's frenemy relationship often pits them against each other in the financial technology field.
However, MasterCard began exploring the encryption industry as early as 2014, even a year earlier than Visa!
So, this article will take a look at what MasterCard has done in the blockchain field?
MasterCard 2014~2023 Development History
2014
Xapo announced the launch of a $15 annual fee Bitcoin debit card that supports MasterCard occasions to facilitate and expand Bitcoin users. At the same time, MasterCard has established a new "digital activation" fee and adjusted other related charges in anticipation of increased token usage.
2015
Barry Silbert founded Digital Currency Group (DCG) shortly after selling SecondMarket and successfully obtained investment support from MasterCard and other large institutions. DCG will invest in Bitcoin startups as a company and already has several subsidiaries. Silbert aims to build the largest early-stage investment portfolio in the blockchain industry and has invested in 57 international crypto companies to date.
2016
At the 2016 Davos conference, MasterCard chief innovation officer Garry Lyons emphasized the impact of fintech on the financial services industry, and was particularly optimistic about the potential of blockchain, while taking a conservative view on Bitcoin. MasterCard is exploring the application of blockchain in payment solutions through its research arm MasterCardLabs.
2017
MasterCard CEO Ajay Banga is skeptical of Bitcoin, citing its potential use for illegal activities and unstable prices, but is bullish on government-regulated cryptocurrencies. In addition, MasterCard has launched its own blockchain payment network, focusing on B2B cross-border payments and providing open APIs to encourage the development of new applications. It hopes to use this technology to bring faster and safer payment methods.
2018
Ajay Banga, CEO of MasterCard, has a negative view on most cryptocurrencies, mainly due to their anonymity and price fluctuations. However, he holds an open stance towards state-issued and non-anonymous cryptocurrencies, believing that such currencies are transparent and stable and suitable for daily use. trade.
At the same time, MasterCard is actively investing in blockchain technology and has applied for and obtained patents. The purpose is to improve the security and efficiency of credit card transactions, allowing users to directly execute transactions using the blockchain while ensuring the privacy and security of transactions.
2019
cooperative development
MasterCard joins hands with Accenture, Amazon Web Services, etc. to jointly leverage the advantages of blockchain technology to promote the sustainability and fairness of the global supply chain. This opens up better market opportunities for small producers and ensures complete tracking and verification of products in the supply chain. In addition, MasterCard and its partners jointly launched a blockchain food supply chain solution that focuses on food transparency, safety and quality.
Policy adjustments, focusing on privacy
MasterCard has made a number of adjustments in its blockchain strategy: it has withdrawn from the bidding of Ripple partner Earthport and the Facebook Libra Alliance. Especially after withdrawing from Libra, the company further clarified its blockchain principles and emphasized the importance of regulatory standards, transparency and user privacy.
2020
Actively deploy the cryptocurrency market
BitPay launches prepaid MasterCard in the US, making cryptocurrencies more useful for everyday transactions. At the same time, MasterCard expanded its support for cryptocurrency initiatives and helped pilot CBDC by establishing a new platform, reflecting its long-term commitment to the industry.
Strategies of major payment companies and blockchain
While Visa and MasterCard have no plans to issue their own cryptocurrencies, they are vigorously promoting mass adoption of cryptocurrencies and focusing on supporting the existing cryptocurrency ecosystem. In addition, through blockchain, MasterCard is also committed to enhancing transparency and trust in the food supply chain.
The impact and opportunities of cryptocurrency on mainstream payments
The Chairman of MasterCard believes that the company’s investment in crypto patents will lead to future returns, especially when CBDC is launched. In addition, MasterCard and Visa's payment block on Pornhub may prompt more consumers to turn to cryptocurrencies, affecting the overall market.
2021
Actively participate in the cryptocurrency and blockchain industry
MasterCard recognizes the importance of cryptocurrency payments and has therefore integrated it into its network to provide consumers with more choices. Not only that, the company has partnered with Island Pay and Gemini to launch CBDC prepaid cards in the Bahamas and provide crypto rewards credit cards to strengthen its market position.
Investing in Blockchain Technology and Innovation
MasterCard purchases blockchain analytics company CipherTrace and launches Start Path program to support blockchain startups. In addition, the company uses blockchain technology to optimize the cattle supply chain and prepare infrastructure for the deployment of CBDC, reflecting its innovation in this industry.
Deepen partnerships and improve cryptocurrency trading efficiency
MasterCard partners with Evolve Bank & Trust to streamline card payments at cryptocurrency exchanges. At the same time, we are working with ConsenSys to jointly promote Ethereum’s scalability solutions and promote transaction speed and efficiency.
2022
Strengthen engagement and leadership in emerging fintech
MasterCard not only expands professional consulting services, focusing on cryptocurrency, open banking and ESG industries to help companies grasp the trends of emerging industries, but also actively participates in various financial technology innovations and cooperation, such as launching the world's first cryptocurrency-backed cryptocurrency exchange with Nexo. Payment card.
Advocate for the safety and accessibility of cryptocurrency
MasterCard leads the industry in protection and support. From securing Mercado Libre’s crypto ecosystem in Brazil, to assisting banks with cryptocurrency trading, to partnering with Coinbase to support NFT payments, MasterCard is constantly striving to make cryptocurrency transactions more convenient and secure.
Promote technological diversity and innovative cooperation
Not only is MasterCard partnering with Energy Web to join Vodafone’s new IoT blockchain, it is also leading the new Web3 and crypto community promotion to ensure diversity and inclusion in the technology. At the same time, it demonstrated its active deployment of future emerging technologies by submitting 15 trademark applications related to encryption and the Metaverse.
2023
Deeply involved in the digital art and music industry
MasterCard launched the Web3 Spotlight program to discover and support digital music artists, and launched free NFT and Web3 music accelerators to enhance the visibility of artists in the digital space.
Strengthen the layout of blockchain and cryptocurrency
Not only did it cooperate with Binance to launch encrypted MasterCard in Brazil and expand its encrypted card cooperation, MasterCard also applied for blockchain-related trademarks and announced its own blockchain plan. At the same time, it cooperated with industry giants to promote the application of CBDC, showing its leadership in this industry. Strategic commitment.
Carry out technological innovation and cooperation expansion
From partnering with Aussie Fintech Stables and Circle to launch Asia-Pacific’s first stablecoin crypto card, to launching AI tools to combat fraud, MasterCard continues to consolidate its leadership position in the financial technology industry through technological innovation and strategic cooperation.
in conclusion
It is worth noting that MasterCard does not just focus on the payment application of cryptocurrency, but also explores and innovates in multiple dimensions (such as supply chain, digital art, food transparency, etc.).
In particular, the layout of Web3 and Metaverse in recent years shows the company's sensitivity to new technology development trends.
Even so, I think MasterCard is still more cautious than Visa in terms of strategy, and it also pays a high degree of attention to issues such as regulation, transparency and privacy.
Overall, MasterCard has shown strategic and in-depth participation in the blockchain field, and we also look forward to seeing better momentum generated through healthy competition with Visa to promote the development of the encryption industry.
References
2014
Xapo Bitcoin Debit Card to Launch This Month
MasterCard To Charge New Fee For Token Usage
2015
Barry Silbert Launches Digital Currency Group With Funding From MasterCard, Others
2016
MasterCard on blockchain: 'We don't want to be blindsided'
2017
Mastercard CEO Attacks Bitcoin, Finds Solace in Government-Backed Cryptos
Mastercard launches its own blockchain payments network
2018
MasterCard Open To ‘Not Anonymous’, State-Issued Cryptocurrencies, All Others ‘Junk’
Mastercard Files Patent for Blockchain System to Secure Card Payments
Mastercard Patents Technology For Blockchain Payments On Credit Cards
2019
Accenture Collaborates with Mastercard, Amazon Web Services, Everledger, and Mercy Corps to Increase the Sustainability and Fairness of Global Supply Chains
Mastercard withdraws from VISA bidding war for Ripple partner Earthport
Mastercard to release luxury goods anti-counterfeit blockchain, hiring blockchain staff
Mastercard Outlines Blockchain Principles After Leaving Libra
Facebook’s libra cryptocurrency coalition is falling apart as eBay, Visa, Mastercard and Stripe jump ship
Mastercard partners on blockchain-based food supply chain
2020
BitPay Launches Prepaid Mastercard in the United States
Mastercard Expands Cryptocurrency Program for Crypto Card Issuers
Visa, Mastercard Won't Issue Their Own Cryptocurrencies
Mastercard and Visa Are Making Bold Moves Toward Mass Crypto Adoption
Mastercard builds platform to pilot central bank digital currencies
Hungry for information: How blockchain can build trust in food supply chains
How Mastercard's blockchain whiz has turned risk into opportunity
Mastercard President Says Crypto Patents Will Pay Off When Central Bank Digital Currencies Arrive
MasterCard And Visa Also Block Pornhub Payments: Is This Good Or Bad For Crypto?
2021
Why Mastercard is bringing crypto onto its network
Mastercard, Island Pay launch CBDC prepaid card in Bahamas
Mastercard and digital currency exchange Gemini to launch crypto rewards credit card
Mastercard blockchain adds visibility to cattle supply chain
Evolve Bank & Trust, Mastercard Announce Partnership to Simplify Card Payments for Cryptocurrency Exchanges
Mastercard launches new Start Path cryptocurrency and blockchain program for startups
Mastercard makes a big bet on crypto, buying blockchain analytics start-up CipherTrace
Mastercard expands cryptocurrency services with wallets, loyalty rewards
Mastercard is preparing its infrastructure for the deployment of CBDCs
ConsenSys launches Ethereum scalability solution, partnering with Mastercard
2022
Mastercard expands consulting with practices dedicated to crypto, open banking and ESG
Nexo and Mastercard launch 'world first' crypto-backed payment card
Mastercard to secure Mercado Libre crypto ecosystem in Brazil
Mastercard makes it easier, safer to buy crypto
Mastercard will help banks offer cryptocurrency trading
Mastercard, Energy Web partner with Vodafone’s new IoT blockchain
Mastercard spearheads new Web3 and crypto community alongside leading industry voices to make emerging tech more accessible to women and non-binary individuals
Dubai's BitOasis signs deal with Mastercard for crypto-linked cards
Mastercard strikes NFT payments deal with Coinbase amid a wave of recent crypto partnerships
Mastercard filed 15 crypto and metaverse-related trademark applications. Here's a look at what the company may have in the works
2023
Mastercard announces Web3 spotlight program to develop and launch emerging musical artists in the digital economy
Binance Unveils Prepaid Crypto Mastercard in Brazil
Visa Reaffirms Crypto Strategy, Mastercard Touts Blockchain
Mastercard Drops Free NFTs, Launches Web3 Music Accelerator
Mastercard seeks to expand crypto card tie-ups
Mastercard applies for new blockchain tools trademarks
Mastercard announces plan to launch its blockchain
Aussie Fintech Stables in collaboration with Mastercard and Circle, launch first stablecoin crypto card
Mastercard Rolls Out AI Tool to Fight Fraud, But Will the Company Survive Tokenization?
Mastercard Teams Up with Blockchain Giants For CBDC Program
Further reading
Citibank explores financial markets, looking at infrastructure disruption and transformation
Visa’s blockchain revolution: How the payments giant is shaping the future of finance
The intersection of regulation and innovation: How the SEC and BIS are shaping the future of cryptocurrency
