Re:MasterCard to open up network to cryptocurrencies
by 14 on Thursday February 11, 2021 @11:38AM
(#26103639)
Wouldn’t MC just buy thousands of BitCoins then just keep track of how many they owe you and not actually interact with the block chain every time?
Re:MasterCard to open up network to cryptocurrencies
by PragmaticPulp on Thursday February 11, 2021 @12:46PM
(#26104704)
Yes, that was my point in the higher comment:
> Should also note that MasterCard crypto transactions almost certainly won’t be settled on the blockchain
This is just an exchange service where Mastercard collects exchange fees, in the same way that PayPal offers cryptocurrency payments.
Even if you turn this into a credit card that a consumer pays off once a month, how many consumers want to pay $8 for the privilege of paying their credit card bill?
Also, $8 is just the current transaction fee, with virtually zero vendors accepting Bitcoin. If Bitcoin became popular, the transaction fees would become prohibitively expensive. The transaction fees have been in the $60 range before, and that’s still before any widespread vendor adoption.
Bitcoin isn’t usable for transactions at scale. It’s by design. Bitcoin has rejected proposals to increase the block size. Bitcoin holders don’t want anyone doing anything with Bitcoin other than holding it