Mastercard is ready to use Blockchain technology to improve its services and processes. According to newly published patent filings, the company is analyzing blockchain technology for keeping track of consumer payments.
Mastercard explains that it is possible to use blockchain technology and record ‘point-to-point’ transactions’ as they are processed. This would simplify the process used to register orders and how they are monitored.
The patent application says that it is possible to provide more services to entities. Moreover, these new services are more secure and transparent than other systems.
However, these patent filings are not related with cryptocurrencies. Back in July, we wrote at UseTheBitcoin that Mastercard CEO called virtual currencies ‘junk.’ Ajay Banga said that cryptocurrencies cannot be considered a medium of exchange since their price fluctuates widely.
Seth Eisen, Mastercard’s senior vice president, said that some customers prefer using virtual currencies for anonymity and security.
The document explains that while blockchain currencies can secure payer’s information, the security may be limited for payees. This happens due to the current limitations of blockchain systems.
Other companies such as American Express are implementing different blockchain solutions to improve their products. American Express would be using Hyperledger technology in order to power its loyalty rewards program.