MasterCard It plans to expand its settlement capabilities to give issuers and acquirers more choices in how and when transactions are settled.
The new capabilities will include stablecoins, intraday, and holiday and weekend options, the company said in a Wednesday (June 3) press release emailed to PYMNTS.
These improvements will support both fiat currencies and cross-chain card settlement using regulated stablecoins; It will help improve liquidity management; It will expand choice in how money is moved, while continuing to work alongside existing operations, according to the statement.
It will be particularly relevant to cross-border, treasury, payments and other use cases where timeliness and transparency are key, the statement said.
The settlement improvements will be accessed through the same global infrastructure used today, ensuring consistency, scalability and interoperability across Mastercard’s global ecosystem, and maintaining existing protections, according to the release.
“The next phase of stablecoin adoption is about real-world utility, especially in settlement, where timing and liquidity are even more important.” Raj DamodharanMastercard’s Executive Vice President of Blockchain and Digital Assets said in the statement.
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“By offering intraday and weekend settlement options across our global network, we are expanding how partners manage liquidity and operate in an always-on digital economy while maintaining the trust, flexibility and assurances they have come to expect from Mastercard,” Damodharan said.
MasterCard embraces and integrates stablecoins,” CEO Damodharan told PYMNTS Karen Webster And my city Ryan Rouge In an interview published in February.
“We think of stablecoins as bars,” Damodharan said. “Each stablecoin can be thought of as a global ACH (automated clearing house), where the consumer does not see the complexity.”
During a January earnings call, Mastercard CEO Michael Maybach He said Mastercard has spent more than a decade in… Digital assets For the company, “it is another currency that we can support within our network.”
Mastercard announced on Wednesday (May 27) that it has obtained a BitLicense from the New York State Department of Financial Services (NYSDFS). PYMNTS reported at the time that the move demonstrated the need for compliance across the board Stable coin and cryptocurrency payments as well as the growing realization among major payment companies that existing compliance advantages at the institutional level are a way to compete against crypto natives.
