According to Raj Dhamodharan, head of cryptocurrency and blockchain at Mastercard, the company has invited many financial institutions and banks to participate in the pilot project. Initially tokenization of bank deposits will be available on the platform, and later MTN will start supporting state cryptocurrencies and regulated stabelcoins.
“The global economy is driven by regulated fiat currencies held in banks. So we start with the tokenization of bank deposits. A unit of money in a bank account will become a digital asset in a blockchain, providing the same level of programmability as digital currency in the cryptocurrency ecosystem. For example, a British bank has tokenized deposits and, say, a bank in Singapore. Then these deposits can be exchanged. It will be an international transfer of values. Such international transfers have traditionally had problems in terms of moving quickly and flexibly,” Dhamodharan noted.
Earlier, Mastercard launched a cryptocurrency card in Australia that allows you to pay for purchases with stabelcoins.