Mastercard believes that blockchain and cryptocurrency have the potential to revolutionize the financial services industry. However, the company says that these technologies need to address security and usability issues in order to build trust with consumers.
“Instilling trust in the blockchain ecosystem is a critical step in realizing its full potential,” said Raj Dhamodharan, Mastercard’s EVP and head of crypto and blockchain.
Dhamodharan noted that blockchain and cryptocurrency have the potential to store and move capital and value more efficiently than traditional methods. However, he said that these technologies are currently limited by their lack of security and complex user interfaces.
“People look at crypto and think of it as an investment, but there’s a whole sector that’s a lot more useful for financial industries as a whole,” Dhamodharan said. “The technology itself holds a lot of promise.”
To address these challenges, Mastercard is working to develop new security and usability features for its blockchain and cryptocurrency products. The company is also investing in research and development to explore new ways to use blockchain technology in the financial services industry.
“We aim to provide a technological foundation that allows everyone from small startups to massive financial institutions to innovate and build upon,” said Johan Gerber, Mastercard’s EVP of Security and Cyber Innovation.
Mastercard is not the only company that is bullish on the future of blockchain and cryptocurrency. A recent report by PwC found that 84% of financial services executives believe that blockchain will have a significant impact on their industry in the next five years.
The report also found that 63% of financial services executives are planning to invest in blockchain technology in the next two years.
