Mastercard is experimenting :
with the use of digital currency
Mastercard recently participated in a pilot program with
the Reserve Bank of Australia (RBA)
and the Digital Paper Currency Research Center (DFCRC).
The pilot program aims to enable safe trade across
Web3 through the central bank's interoperable digital currencies (CBDCs).
Innovative Mastercard Technology
As part of a pilot project in collaboration with the Reserve Bank of
Australia (RBA) and the Collaborative Research Centre for Digital Finance
(DFCRC)
The initiative aims to explore applicable use of
the Central Bank's (CBDC) digital currency in Australia.
Mastercard has ;:
developed a technology that
allows the Central Bank's cryptocurrencies (CBDCs)
to be converted into codes or "packaging" securely on different block chains.
This innovation provides consumers with
a simple and safe way to make transactions across multiple block chains.
In cooperation with Cuscal and Mintable
Mastercard solution includes strict controls to ensure that
the central bank's digital currency beta (CBDC) cannot be accessed
It is used and recovered only by authorized parties that have undergone appropriate identity verification (KYC) and risk assessment by licensed service providers.
Richard Wormald
Head of Australia at Mastercard
expressed enthusiasm about this technology:
- As the digital economy continues to mature
- Mastercard has seen consumer demand to engage in
- trade across many block chains, including public block chains.
This technology :
not only has the potential to :
stimulate more consumer choices, but also opens up
new opportunities for collaboration between public
and private networks to make a real impact on digital currencies.
A live presentation showed how :
- the solution could enable the Central Bank Digital
- Currency Holder (CBDC) experimental to purchase
- an irreplaceable code (NFT) included in Ethereum's blockchain.
The process included "securing"
- the required amount of CBDC demo currency on the RBA's CBDC
- pilot platform and minting an equal amount of
- CBDC pilot codes coated on Ethereum.
Before making :
the test transaction, it was necessary to approve Ethereum wallets for both the seller and buyer, as well as the smart contract for the NFT market, within the platform.
This demonstrates :
the statute's ability to regulate even public block chains.
- The pilot program used the Multi-Token network
- a blockchain technology introduced by Mastercard in June 2023
- which is specifically designed to enhance the efficiency of
payment and trade applications.
Strong Use Case
Zach Birx, CEO and founder of Mintable
another participant in the pilot programme
said:
The enormous potential of NFTs was evident during
this progressive central bank pilot program.
In conjunction with Mastercard, we have identified a use status through
which digital currencies and non-replaceable symbols (NFTs)
can be easily linked :
- This could eliminate fraud and theft
- end the loss of documents and records
- and unleash new possibilities for trade.
He added :
While cryptocurrencies are still in their infancy
NFTs are already used in new media, games, digital identities
loyalty programs, ticketing, certification, certification and more.