Mastercard Debuts Blockchain-Based Multi-Token Network In The UK

Financial services giant Mastercard Inc MA is making strides in the blockchain technology space with the unveiling of its Mastercard Multi-Token Network (MTN), which seeks to have secure, scalable and interoperable transactions within the digital asset and blockchain ecosystems.

A statement from Raj Dhamodharan, Mastercard executive vice president and the firm’s head of crypto and blockchain, underlined the significance of this launch and disclosed that the beta version of MTN will be made available in the U.K. during the summer.

This phase will function as an experimental platform for developing live pilot applications in collaboration with financial institutions, fintech companies and central banks.

The initial phase of applications will be powered by tokenized bank deposits.

In a blog post, Dhamodharan stated, “Our vision for MTN is to provide a set of foundational capabilities designed to make transactions within the digital asset and blockchain ecosystems secure, scalable, and interoperable — ultimately enabling more efficient payment and commerce applications.”

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Focused On Trust And Security: He further outlined that the Multi-Token Network is constructed around the concept of trust, with Mastercard employing its extensive experience in payment standards and security.

MTN will leverage Mastercard Crypto Credential, a technology unveiled in April, which offers a standard set of verification procedures for ensuring trusted interactions among consumers and businesses using blockchain networks.

“Trust in digital payment asset and trust in technology are essential. Scalability of blockchain networks and interoperability among them are critical technologies required for safe transfers of tokens and assets,” Dhamodharan said.

Consumer Protections And Compliance: Another integral component of MTN is a commitment to consumer protection, as Mastercard aims to apply its longstanding experience in establishing standards for card networks to create a common framework for users of the Multi-Token Network.

“MTN will draw on our years of experience developing standards and rules for our card network to provide a common framework for a community of users with shared interests. This includes clear rules of the road that prioritize strong consumer protections, stability, and regulatory compliance,” he emphasized.

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