Mastercard Partners With R3 To Build Blockchain-Based Payments Solution

Mastercard and R3, a leading enterprise blockchain software provider, announced today a strategic alliance to develop and pilot a new blockchain-based cross-border payments solution. Mastercard ‘s blockchain-based solution will further support banks to deliver a single frictionless real-time payments proposition.

The solution will initially focus on connecting Mastercard ‘s global infrastructure of payments, clearing and settlement network with R3’s Corda- blockchain ecosystem. R3 has more than 300 of the world’s leading financial services firms, technology companies, central banks, regulators and trade associations.

By combining R3’s expertise in blockchain with Mastercard’s existing payment systems, the company hopes it will address concerns such as high processing overheads, liquidity management and the existing lack of standardization and processes between banks and domestic clearing systems.

Peter Klein, executive vice president of New Payment Platforms for Mastercard, commented: 

“Our goal is to deliver global payment infrastructure choice and connectivity as demonstrated through our recent strategic acquisitions and partnerships, including our relationship with R3.”

Earlier this year, Mastercard strengthened its cross-border network reach with its acquisition of Transfast. The partnership with R3 is the latest step in Mastercard’s strategy to provide customers with an unrivaled choice in how they move money.

David E. Rutter, CEO of R3, said:

“We are excited to partner with Mastercard to help shape the future of the digital payments ecosystem”.