So what is the irony of this whole event?
Mastercard was one of the first ardent critics of cryptocurrency and the blockchain technology. And this criticism was not at all positive.
Nevertheless, now Mastercard wants to patent the method of fractional management of blockchain assets.
However, so to speak, who screams the loudest...
The company still invested in research related to the blockchain technology, wanting to find legitimate ways to use cryptocurrency. Ultimately, Mastercard recognized that a distributed ledger might be useful.
Cryptocurrencies themselves are also not long in coming. Now Mastercard wants to patent the method of fractional management of blockchain assets.
So what is the irony of this whole event?
As if that wasn't bad enough, but Bitcoin was originally designed to deal with fractional reserve banks. This is what most cryptocurrencies want to eradicate.
In turn, the Mastercard patent talks about a system that combines crypto assets and fiat assets. This is a wallet combining cryptocurrency and fiat accounts. The document essentially describes a cryptocurrency credit card system.
That is, in simple words, Mastercard want to continue to engage in what they do best of all else: to conduct transactions. According to the company, it is necessary to modernize the methods of managing transactions using cryptocurrency. Traditional payment systems, like fiat payment processing systems, are designed and configured to securely store and protect user information, as well as to transfer personal data between operators. In addition, they are often configured to perform complex calculations and risk assessments, and fraudulent recognition algorithms are built into them. Therefore, in combination with blockchain and cryptocurrency, traditional systems can provide significant benefits to consumers. Sellers and buyers will receive all the benefits of a distributed network, without losing the quality of protective systems.
Many enthusiasts believe that potentially a patent can make a huge contribution to the development of the industry. However, do not forget that, in general, Mastercard policy contradicts the ideology of cryptocurrency. Therefore, it is unlikely that the ardent supporters of cryptocurrencies and the ideas behind them will accept this statement positively.