Mastercard may launch a payment system for fast cryptocurrency transactions

17 July 2018

According to the patent filed with the U.S. Patent and Trademark Office (USPTO), Mastercard has a concept of a payment system able to connect fiat currency and cryptocurrency accounts to facilitate the transaction process for merchants, business owners and other stakeholders wishing to deal with the digital assets, but showing wary attitude in view of the hassles coming in the process.

The patent reveals that where the cryptocurrency use over conventional cash by the consumers chasing privacy and security of the transactions is ever growing, a significant disadvantage of using digital assets lays with the processing times between the crypto and fiat currencies. The patent authors believe that there is a need to improve the level of storage and processing for the blockchain-based instruments.

The patent notes that in many cases processing may take a substantial amount of time, ten minutes on average, while traditional payment systems process transactions within nanoseconds. It makes a major part of business owners to abstain from offering cryptocurrency as a payment method for their products and services.

Mastercard wants to make the process less time-consuming through the creation of new type accounts, which allow parties to transact in cryptocurrencies with constant account of a fiat currency. Such accounts would link data on fiat currency amount, blockchain currency amount and account identifier and address. While all transactions would be based on the fiat currency value along with fiat currency’s security measures, they would be in fact cryptocurrency transactions.

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