MasterCard has announced upgrades to how it’s payment processing operations will operate for business to business transactions. The company will now allow businesses to use blockchain technology to transfer money via its MasterCard Blockchain API, which recently debuted at the Money20/20 Hack-a-thon in Las Vegas.
MasterCard has joined the growing list of companies taking advantage of blockchain technology such as Google, Citibank, Goldman Sachs and others.
Unlike Bitcoin, MasterCard’s blockchain technology does not rely on a cryptocurrency to operate. Instead, transfers currencies in the same way as bitcoin, with full ledgers included. In this way the sender and receiver have records of the transaction included with the currency itself. MasterCard says the blockchain transfer is safer and faster than the existing system. MasterCard ensures that the new blockchain technology used to process the payments is only shared between those who are participating in the transaction, with the blockchain guaranteeing that there is an accurate record of the payment.