Mastercard launches CBDC testing platform

That would help central banks to assess and explore national digital currencies

Mastercard CBDC

Mastercard launches CBDC testing platform. Source: shutterstock.com

Mastercard has announced a virtual testing environment for central banks to evaluate CBDC use cases.

The platform enables the simulation of issuance, distribution, and exchange of CBDCs between banks, financial service providers, and consumers.

Besides, the platform will show how a CBDC can be used to pay for goods and services wherever Mastercard is accepted.

According to the report, central banks, commercial banks, tech and advisory firms have teamed up with Mastercard to assess CBDC.

They assess tech designs, validate use cases, and evaluate interoperability with existing payment rails available for consumers and businesses.

Central banks have accelerated their exploration of digital currencies with a variety of objectives, from fostering financial inclusion to modernizing the payments ecosystem. Mastercard is driving innovation with the public sector, banks, fintechs, and advisory firms in the exploration of CBDCs, working with partners that are aligned to our core values and principles. This new platform supports central banks as they make decisions now and in the future about the path forward for local and regional economies
Raj Dhamodharan, Executive Vice President, Digital Asset and Blockchain Products and Partnerships, Mastercard

We’ve reported that Mastercard and card payments provider Square have teamed up with the Falkland Islands government to bring card payments there. That’s a part of their joint ‘Connecting the Falklands’ initiative.

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