Mastercard Teams Up With R3 To Develop Cross-Border Payment Solution Using Corda Blockchain Platform

Popular payments services provider Mastercard is teaming up with blockchain company R3 to create an international payments solutions, CoinDesk reports.

In a press statement, the two companies will develop and pilot a fresh blockchain-based cross-border platform. The payments solution will aim at linking world’s faster payments platforms, schemes as well as financial institutions majorly banks.

As per the press statement, the partnership is part of Mastercard’s plans to enhance its international payments network adding on its latest acquisition of an international payments firm Transfast at the beginning of this year.

The teaming up with R3 is a ploy by Mastercard to provide a wide range of payment solutions for its clients in efforts to allow them to decide how their money should be moved across the world.

Mastercard’s executive vice president in charge of new payment platforms, Peter Klein, stated that development of a high-quality cross-border payments platform will help the company enhance its connectivity around the world which is a key ambition for Mastercard. Klein went ahead to explain that Mastercard’s goal is to provide worldwide payment infrastructure and the partnership with R3 will help the company to achieve its vision.

According to R3, the new payment platform will be developed on top of Corda Enterprise, which is the commercial version of the Corda blockchain, and not on the open-source Corda platform.

The new cooperation is set to take advantage of R3’s blockchain development expertise and Mastercard’s global network and payment platforms. The two companies are hopeful that the partnership will allow them to eliminate various industry challenges such as high processing fees, management of liquidity and problems associated with domestic clearing systems.

This is not the first time the two companies are teaming up for a project. At the start of this month Mastercard officially became a member of Marco Polo trade finance blockchain platform that was started by R3 in collaboration with TradeIX.

Cointegraph reports that in the recent past, Mastercard has been angling to enter the crypto industry and in August the payments giant advertised for new job for blockchain as well as crypto-related products.