Sachin Mehra – Chief Financial Officer at Mastercard – believes that cryptocurrencies such as bitcoin and ether are still too volatile to be considered a suitable payment instrument. and vice versa Central bank digital currency (CBDC) and stablecoin may be better suited for that role.
Crypto as an Asset Not a payment tool
Mastercard CFO Sachin Mehra is another senior director at a global tech firm who believes in the bright future of crypto in a recent interview with Bloomberg where heconthat cryptocurrencies can help transition from cash to electronic payments
“If you think about it on a global scale You will find that there is still a lot of cash that still needs to be processed electronically,” he continued.
Despite summarizing the advantages of bitcoin and other coins, Mehra thinks they are too volatile to serve as the payment tools consumers use on a daily basis:
“If something in value fluctuates every day, like your Starbucks coffee today costs $3, tomorrow it costs $9, and the next day you lose $1.”
However, management classifies crypto as an asset, while CBDC and stablecoin can act as payment instruments.
The CBDC will be a digital version of government-backed fiat money. under supervision These financial products are highly centralized. And there are no serious price swings.
A stablecoin is a token that has a fixed value with another asset. These are usually major currencies (such as the US dollar) or precious metals (such as gold), for example USDT and USDC – both of which are tied to the US dollar.
Crypto does not pose a threat.
More recently, Raj Dhamodharan, Mastercard’s head of crypto and blockchain. commentthat cryptocurrencies can’t hurt investors at all Moreover He claimed it was The “multi-technology” that makes their nature unique. which from the point of view of investors He thought it was an investment tool that “Probably the best”
Dhamodharan especially emphasized the advantages of bitcoin, which for him Major digital assets are more than just currencies.
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