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 <p>Payments giant Mastercard says adoption is the most challenging part for state-issued digital currencies.</p>
 <p>The second-largest payment-processing provider, Mastercard, sees no prospects for central bank digital currencies (CBDCs) shortly, as <a rel="noopener noreferrer nofollow" href="https://thebittimes.com/tag/consumers.html">consumers</a> nowadays are “comfortable using today’s type of money.”</p>
 <p>In an interview with CNBC, Ashok Venkateswaran, APAC head for digital assets and blockchain at Mastercard, said there isn’t enough <a rel="noopener noreferrer nofollow" href="https://thebittimes.com/tag/justification.html">justification</a> for having a CBDC, adding that cash is still the most frequently used means of payment.</p>
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  <p>“The difficult part is adoption. So if you have CBDCs in your wallet, you should have the ability for you to spend it anywhere you want — very similar to cash today.”</p> <cite>Ashok Venkateswaran, APAC head for digital assets and blockchain at Mastercard</cite>
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 <p>However, the APAC head admitted there might be a use case for CBDCs, but for interbank settlements. Venkateswaran particularly addressed Singapore and its struggles with adopting the local retail CBDC. He noted that the state-run digital currency is not compelling enough, given that the region has a “very efficient” payment system.</p>
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  <p>“There isn’t a reason for a retail CBDC [in Singapore] but there is a case for a wholesale CBDC for interbank settlements.”</p> <cite>Ashok Venkateswaran</cite>
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 <p>Venkateswaran’s comments come after Kristalina Georgieva, Managing Director of the International Monetary Fund (IMF), said that CBDCs could eventually replace cash, which is “costly to distribute in island economies.”</p>
 <p>The IMF boss noted that digital currencies could “offer resilience” in more advanced economies, adding that CBDCs are posed to “improve financial inclusion where few hold bank accounts.”</p>
 <div class="cn-block-related-link"><span> Read more: </span> Nobel’s charity trust to lobby CBDCs with new initiative
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<p>Source: <a rel="noopener noreferrer nofollow" target="_blank" href="https://thebittimes.com/mastercard-sees-no-justification-for-consumers-to-use-cbdcs-tbt70643.html">https://thebittimes.com/mastercard-sees-no-justification-for-consumers-to-use-cbdcs-tbt70643.html</a></p>

Mastercard sees no justification for consumers to use CBDCs

TheBitTimes

Other articles published on Nov 17, 2023

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