Mastercard has announced a new partnership program with several blockchain companies to develop central bank digital currencies (CBDCs). The program, called the CBDC Partner Program, includes Ripple, Consensys, Fluency, Fireblocks, Consult Hyperion, and Idemia.
The partners in the program have all worked on CBDCs or payment services infrastructure in the past. Mastercard says that the program will enable collaboration between the key players in the space and help to clarify the benefits and limitations of CBDCs, as well as how they can be safely implemented.
Mastercard has been interested in CBDCs for several years. In 2020, the company launched a sandbox for central banks to test their CBDC systems. Mastercard also issued prepaid cards for the CBDC in the Bahamas. With this new program, Mastercard is taking a more active role in the development of CBDCs. The company is hoping to use its expertise in payments and blockchain technology to help central banks create digital currencies that are secure, efficient, and user-friendly.
Raj Dhamodharan, Mastercard’s head of digital assets and partnerships, said that the company is committed to ensuring that CBDCs are as easy to use as other forms of money. He said that this can be achieved through interoperability, which would allow CBDCs to be used across different platforms and networks.
The other partners in the program also expressed their support for interoperability. They said that it is essential for CBDCs to be interoperable if they are to achieve widespread adoption.
The CBDC Partner Program is a significant development in the field of CBDCs. It is the first major initiative of its kind to bring together leading companies from the blockchain and payments industries. The program is likely to play a major role in the development and adoption of CBDCs in the years to come.