Mastercard is anticipating the future of money, giving people plenty of options to decide how they want their assets to be used. The card payments major has predicted that blockchain could bring that element of programmability to money as we know and use it today. Mastercard is building a ‘Multi-Token Network (MTN)’ – to make a blockchain-based financial ecosystem secure, scalable and interoperable. This MTN solution will be packed with foundational capabilities that will increase the overall potential utility of blockchain.
with mtn master card It is being explored whether units of money in a person’s bank account can be converted into digital savings on the blockchain. The company believes that this could open up more use cases for digital money.
“Last year, we tested the use of tokenized commercial bank deposits between multiple financial institutions, settling through our existing network. MTN will support and complement these efforts by enabling regulated payment tokens to power financial applications official statement Raj Dhamodharan, head of crypto and blockchain, said on June 28.
asset tokenization It is the process of creating digital units of a physical or virtual asset and storing them on a blockchain. Tokenizing an asset can increase its liquidity. Almost anything can be tokenized. More recently there have been claims that they can be exotic things like sports teams, artworks and celeb merchandise, as well as traditional assets like bonds, commodities, capital funds and real estate. blog by Hadera.com.
Tokenized stocks are often backed 1:1 against traditional stocks. This gives holders the same benefits as owning the underlying stock.
“The scalability of blockchain networks and the interoperability between them are key technologies required for the secure transfer of tokens and assets. In bringing the power of 24/7 operation, programmability and immutability to all aspects of the economy, blockchain capabilities and tokenization can reach their full potential, driving true change. MTN represents one of Mastercard’s most ambitious projects to date in the digital asset space,” said Dhamodharan.
In the coming weeks, Mastercard’s MTN will be made available in beta mode in the UK. The company, which is headquartered in the US, is striving to become an early adopter and facilitator of digital assets and Web3.
Mastercard said in April that it was Expansion of Its cryptocurrency payment card program by seeking more partnerships with crypto firms, even as the sector comes under close scrutiny from regulators and banks become wary.
In November last year, the group of bank giants in the US included Mastercard, HSBC and Wells Fargo. launched A digital dollar blockchain project amid the ongoing downturn in the shaken crypto market.