Michael Miebach, the CEO of Mastercard, explained that the company should be part of the cryptocurrency space. He said that during a recent earnings call in which the crypto topic was present. This shows that traditional financial companies are having a look at the expansion of the crypto industry and how it could be a great opportunity for them to offer services to clients.
Mastercard Should be in the Cryptocurrency Space
During a recent earnings call, Mastercard’s CEO said that they are working on different initiatives to help other firms (mostly startups) release their projects. Moreover, they are also working on a virtual testing platform that could be used by central banks.
Despite these positive things for the company, they know that the cryptocurrency industry is still a growing market. People around the world do not yet fully understand how it works and many investors would like to understand how it could provide a greater opportunity to investors.
In recent years, stablecoins and CBDCs (Central Bank Digital Currencies) have been very discussed topics. Governments all over the world are planning to launch their own CBDCs and they are also searching for a way on how to regulate the stablecoin market.
The CEO of Mastercard explained:
“What we believe we do is bring a perspective to the market as a multi-rail payment provider. We have to be in this space because people are looking for answers.”
The firm is ready to expand its solutions and provide their knowledge on the different services they need. This is especially useful for the expansion of Central Bank Digital Currencies and the needs that governments have to offer better solutions to citizens.
Miebach said that countries have to make a trade-off between financial products that already exist and what CBDCs could solve. This is where Mastercard could help with its experience in payments and even cross-border payments.
In addition to it, Mastercard’s CEO talked about regulations, a very important topic that companies do not want to avoid. He stated that they will provide support for these types of transactions as long as the necessary regulatory conditions are met in the market. This includes financial regulations and client’s protection.
Over the last months, several companies have purchased Bitcoin, including Tesla and MicroStrategy, among others. There is a strong interest from firms all over the world to get access to the virtual currency market. However, not all firms do it in the same way. Mastercard prefers to work on solutions and different projects.