In 2009, when the infamous Bitcoin whitepaper hit the mainstream, it introduced a technology that would create proofs of transactions like many point of sale operations. This technology is called the Blockchain, and in its multifaceted approach to transaction IDs, it is able to overcome the usual garden variety of agents exploiting user information. This freedom from central banks has made cryptocurrency, along with Blockchain technology, explode in the commercial sphere.
Mastercard recently filed a patent with the US Patent and Trademark Office last Thursday for an in-house Blockchain system to store, identify and harden user data against the tide of security breaches plaguing commerce over the past decade. It wasn’t the first time the company made strides in Blockchain investing. The company patented an instant payment Blockchain solution in October 2017 using particular algorithms and another business-to-business model, moving trillions of dollars today.
The technology involved has a variety of checks to verify transactions taking place are legitimate. Mastercard’s proprietary technology is not far removed from Blockchains used with other currencies, creating onion-like layers of security. Through nodes that the company would authorize, create and distribute private keys provided that the initial creation comes from a public, geographic location.
Cointelgraph, a renowned source of breaking news on cryptocurrency and e-commerce, reports the company hiring of highly trained Blockchain tech professionals jumping onboard the Mastercard Dublin office. The company seeks 175 employees with a specific background in cryptocurrency and Blockchain tech.
Despite having a pessimistic approach on Bitcoin itself, with CEO Ajay Banga writing off the concept of money outside of immediate government backing as “junk,” the company is investing in preemptive measures should this market change course from central banking. Some cryptocurrency markets are backed by government investments and futures, and as such, it would appear Mastercard are gearing for any contingency in this tumultuous market.