In its most recent earnings call held on Thursday, Mastercard CEO Michael Miebach stressed that the company needs to enter the crypto space.
“What we believe we do is bring a perspective to the market as a multrail payment provider,” Miebach said.
He emphasized that the reason behind the firm’s motive for entering the crypto space is to offer solutions to the existing bottlenecks.
“We have to be in this space because people are looking for answers.”
Mastercard has been looking to explore this area for a while now. In 2017, they filed a patent that would allow people to use a credit card or debit card to buy cryptocurrency by converting the digital currency into dollars first.
They are looking to provide a more convenient and safer way for consumers and businesses to use cryptocurrencies.
Michael Miebach believes that Mastercard in its capacity as one of the largest credit card companies around can assist central banks across the world to solve financial inclusion and cross-border payments problems.
“All of these countries have to make a trade-off between existing delivery of financial products and what a CBDC is solving for, whether it’s financial inclusion or cross-border payments. We have experience with all of that,” he added.
Mastercard will use its global processing capabilities to create a new type of digital currency-based payment system on behalf of governments or central banks, like how it currently provides payment services for debit and credit cards.
The firm’s efforts are promising and will further improve the global cryptocurrency adoption rate.